JOHANNESBURG (miningweekly.com) – Junior Talga Resources has completed the sale of its Pilbara gold projects to Beatons Creek Gold, which exercised its option to purchase the Mosquito Creek, Talga Talga and Warrawoona projects.
Beatons, an Australian subsidiary of the TSX-V-listed Novo Resources, previously acquired 100% ownership of three mining leases at Beatons Creek from Millennium Minerals.
Following the $250 000 option fee already received by Talga under the sale agreement, Beatons has offered 765 115 common shares of Novo, in place of cash payments, for the A$750 000 transaction balance remaining.
Talga will also be owed a 1.5% net smelter royalty on any minerals produced from the projects. Completion of the sale is conditional on TSX-V approval and obtaining Ministerial approval as required.
Talga MD Mark Thompson commented that the company was delighted with Beatons’s decision to exercise its option a year prior to the sale agreement deadline.
Talga sold its Pilbara gold assets to focus on its flagship European graphite/graphite business.