Western Australia-focused Fenix Resources will subscribe for up to A$1-million in convertible notes of Athena Resources, gaining an opportunity for exposure to the Byro magnetite project, in the Mid-West region.
Fenix, which operates an integrated mine-to-port business, will subscribe for up to 100 convertible notes.
If both tranches are issued and fully converted at the conversion price of A$0.002 a share, Fenix will become the biggest shareholder in Athena with an approximate shareholding of 31.8%.
Athena owns the Byro project, located about 340 km north-east of the Port of Geraldton. Athena is working to complete a scoping study for the production of high-grade, low-impurity magnetite concentrate that would demand a premium price and could be hauled to Geraldton for export.
Athena’s stock surged 33.33% on Friday to A$0.004 a share.