Golden Rim Resources renegotiates Korongou deal

THE BOURSE WHISPERER: Golden Rim Resources (ASX: GMR) has reported negotiated changes to its agreement to acquire the Korongou project from Epsilon Gold Mines.

The previously-struck deal involved a total of $2 million payable to Epsilon over a period of two years and an additional US$1 million was payable upon the commencement of a Bankable Feasibility Study by Golden Rim.

Under the renegotiated terms, US$1.5 million is payable over a period of two years and an additional US$1.5 million will be payable upon a Decision to Mine.

Golden Rim said it has already provided $500,000 of the initial payments.

Golden Rim explained the renegotiation is part of its financial management processes.

The company said, like many other companies at the moment, it is focused on preserving as much cash as possible for exploration purposes and to progress the Bankable Feasibility Study at Netiana, on its Balogo project.

“We are pleased that we were able to renegotiate the staged payments,” Golden Rim Resources managing director Craig Mackay said in the company’s announcement to the Australian Securities Exchange.

“With the current difficult market conditions, our goal is to be prudent and to be careful with our cash while still progressing our projects.”