https://www.engineeringnews.co.za

Silver Lake waives right to Cannon, paves way for development

1st September 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

Font size: - +

PERTH (miningweekly.com) – Gold miner Silver Lake Resources has waived its pre-emptive right over the proposed Cannon gold project, in Western Australia, allowing project owner Southern Gold and ASX-listed Metals X to proceed with project development.

In August this year, Southern Gold and Metals X executed a mine finance and profit share term sheet over the Cannon project, which would see Metals X provide funding and technical expertise to mine the resource.

The agreement triggered a pre-emptive right held by Silver Lake to match or better any third party offer over the Cannon project, or to purchase the mining lease.

Southern Gold MD Nanette Anderson said on Monday that with the waiving of the pre-emptive right, the company now had a clear pathway to make the transition from gold explorer to producer.

“Importantly, Metals X has agreed to provide us with pre-development funding, which, in turn, minimises dilution of existing shareholders in the current market environment.”

Anderson said that coupled with Southern Gold’s recent progress in securing some key regulatory approvals and an improving gold price environment, the signing of the term sheet placed the company in a strong position to press ahead with development.

The Cannon project was expected to have a mine life of some 36 months and would deliver a total of 68 200 oz of gold.

Edited by Creamer Media Reporter

Comments

Showroom

Booyco Electronics
Booyco Electronics

Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...

VISIT SHOWROOM 
SBS Tanks
SBS Tanks

SBS® Tanks is a leading provider of innovative water security solutions with offices in Southern Africa, East and West Africa, the USA and an...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.306 0.359s - 156pq - 2rq
Subscribe Now