THE BOURSE WHISPERER: VRX Silica (ASX: VRX) has entered into a conditional agreement for the sale of its wholly-owned subsidiary company Ventnor Gold Pty Ltd, owner of the Biranup nickel and gold project in Western Australia.
VRX Silica reached the agreement with New Energy Metals Limited (NRG), an unlisted public company that is planning an Initial Public Offering (IPO) and subsequent ASX-listing later this year.
New Energy Metals is a nickel sulphide focused exploration company with exposure to the Albany Fraser Oregen and South West Yilgarn of WA with a proprietary nickel sulphide prospectivity database to generate further projects.
VRX Silica indicated that New Energy Metals will prioritise applications in the IPO from VRX Silica shareholders.
“We are delighted to have reached agreement with NRG on the terms for the sale of the Biranup project which will enable VRX Silica to share in any future exploration success,” VRX Silica managing director Bruce Maluish said in the company’s announcement to the Australian Securities Exchange.
“The Biranup project tenements have an extensive and comprehensive exploration data base that we have assembled and this will be a great starting point for NRG.
“This is an ideal outcome for VRX Silica and its shareholders as it will allow us to focus on the company’s stated aim of becoming a global supplier of high-quality silica sand.”
TO READ THE ANNOUNCEMENT IN FULL: CLICK HERE