THE BOURSE WHISPERER: As they say in the classics; it’s better to have 50 per cent of a project than 100 per cent of no project.
Non-Binding Heads of Agreement
Northern Mining (ASX: NMI) announced its wholly-owned subsidiary, NMI Limited has entered into a non-binding Heads of Agreement to investigate the acquisition of a 90 per cent interest in the business of PT Bintang Cipta Persada (BCP), a company incorporated in Indonesia.
NMI Limited is to complete its due diligence investigations and enter into a Conditional Sales and Purchase Agreement upon satisfactory completion of the due diligence investigations and obtaining governmental regulatory approval.
NMI will endeavour to complete the due diligence within 6 months from the signing of the HOA.
The purchase consideration is to be negotiated and is subject to further discussion and advice.
BCP holds a number of mining concessions in minerals such as gold, coal and nickel in Sumatra and Balikpapan in Kalimantan
BCP is experienced in the identification of high quality mineral assets in Indonesia.
Northern Mining said it hopes, through this acquisition, it will be able to develop a portfolio of world-class resource projects in Indonesia.
Wild Acre signs option agreement
Wild Acre Metals (ASX: WAC) has entered into a formal agreement with Teck Peru S.A., a subsidiary of Canadian major Teck Resources Limited.
The agreement enables Wild Acre to farm in to Teck’s Salvador silver-gold project, which adjoins the company’s Sambalay project in Southern Peru.
“We are very pleased to have secured a deal over this ground which Wild Acre sees as strategic to its exploration in the area where we are building a geological understanding of the mineralised system which is leading us towards a significant silver gold discovery,” Wild Acre Metals executive chairman Grant Mooney said.
“We can now extend our exploration program over our boundary and broaden our thinking as to what is driving the mineralisation.”
Under the agreement, Wild Acre can earn a 100 per cent interest in the project by spending US$2 million in exploration expenditures within three years, including US$250,000 over the next 12 months and Teck retains a 2 per cent net smelter returns royalty and is entitled to a production decision bonus of $500,000.
Additionally, Wild Acre will issue to Teck 2 million shares and 2 million unlisted options with an exercise price of 10 cents and an expiry date three years from the date of issue (subject to escrow).
Tanami Farm-in and Joint Venture agreement
Ramelius Resources (ASX: RMS) has finalised terms with Tychean Resources (ASX: TYK) for Ramelius to farm-in on a package of two granted Exploration Licences (ELs) and six EL applications in the Northern Territory.
Farm-in and Joint Venture Agreement Terms:
Ramelius will pay Tychean $50,000 cash upon execution of the agreement to assist Tychean facilitate the grant of the Highland Rocks and Officer Hills South exploration licences within the land package;
Subject to all necessary statutory and regulatory approvals plus the grant of the two Highland Rocks and Officer Hills South ELs Ramelius will commit to a minimum exploration expenditure of $100,000 within 2 years;
Ramelius may earn an 85 per cent interest in the project by exploration expenditure of $500,000 within 3 years; and
Tychean will be free carried until a Decision to Mine at which time it may elect to contribute its interest or convert to a 1.5 per cent NSR.
Tychean’s tenement package was originally applied for in 2010 to 2011.
Ramelius will now advance exploration over the tenements.