THE BOURSE WHISPERER: Horizon Minerals (ASX: HRZ) announced an agreement with Northern Star Resources (ASX: NST) to swap tenements exchange in the Western Australia Goldfields for nil cash consideration.
Horizon Minerals said the transaction involves the company divesting its 100 per cent-interest in the Anthill, Blister Dam, New Mexico, White Flag and Kanowna North tenements in return for 100 per cent-interest in Northern Star’s Rosehill, Brilliant North and Gunga West projects in Coolgardie and the Golden Ridge, Balagundi, Abattoir and Mt Monger projects in Kalgoorlie.
“This is a sensible transaction between Horizon and Northern Star that place assets within each company’s areas of interest,” Horizon Minerals managing director Jon Price said in the company’s announcement to the Australian Securities Exchange.
“For Horizon, it adds contiguous tenure to the Boorara gold project area in Kalgoorlie and additional strategic assets in Coolgardie including the Rose Hill – Brilliant North tenements which give us the ability to unlock the full value of the Coolgardie gold project as we continue to progress formal binding documentation and required approvals for the potential acquisition.”
Horizon expects the tenement exchange agreement to be completed in the December Quarter 2019 and contains conditions precedent, warranties and representations and other clauses that are standard for transactions of this nature including provision of signed transfers, all mining information and any statutory consents required.