Delta Lithium Confirms Mt Ida Gold Spin-Out
THE BOURSE WHISPERER: Delta Lithium (ASX: DLI) confirmed what market watchers have been expecting being that the company intends spinning out its Mt Ida gold asset into a new entity, Ballard Mining Limited.
Delta Lithium is carrying out the demerger with the aim of unlocking the value of the Mt Ida gold asset for its shareholders and to separate its gold and lithium assets into two distinct companies.
The new company will be led by well-qualified Board and management, including former De Grey chairman Simon Lill as non-executive chairman, Stuart Mathews as non-executive director, Paul Brennan as managing director and Tim Manners as finance director.
Delta’s current managing director, James Croser, will join the Board of Ballard as a non-executive director to ensure a smooth transition of the Mt Ida asset into the new standalone entity.
Delta considers the demerger of importance as it enables the company to continue focusing on its primary business, being the exploration and development of its lithium assets at the Mt Ida project and the Yinnetharra lithium project.
“Delta has been working diligently towards this outcome for some time, and we are delighted to be finally able to announce these details of the Demerger and Ballard IPO,” Delta Lithium managing director James Croser said in the company’s ASX announcement.
“Re-setting the exciting and prospective Mt Ida Gold Asset into Ballard, a pure new gold company, at such an opportune time in the gold price cycle best positions Ballard to launch into early success, underpinned by a strong foundation of 1.1 million ounces gold and a new dedicated and specialised management team.
“Momentum is crucial to a new listing and the pricing of the Gold Asset is compelling with significant potential to create investor returns and shareholder value.
“I encourage all Delta shareholders and members of the gold investment community alike to consider carefully the prospectus information when released.
“We look forward to welcoming the new shareholders of Ballard.”
TO READ THE FULL ANNOUNCEMENT: CLICK HERE
