Kin Mining Completes Sale of WA Gold Deposits to Genesis Minerals
THE DRILL SERGEANT: Kin Mining (ASX: KIN) completed the sale of selected gold deposits within the company’s Cardinia gold project in Western Australia to Genesis Minerals (ASX: GMD).
Kin Mining first announced the deal was to be done in December 2023 when it agreed to sell the tenements hosting the Bruno, Lewis, Kyte and Raeside deposits, which collectively contain JORC compliant Mineral Resources totaling 610,000 ounces, to Genesis for consideration comprising $15 million in cash and approx. 22 million un-escrowed Genesis shares based on a 5-day VWAP at the time, valued at $38.5 million.
The total transaction of $53.5 million means Kin is now well-funded with $80 million in cash and liquid assets (assuming a GMD share price of $1.615ps), which the company indicated will assist in its pursuit of a range of strategic opportunities.
“We are very pleased to announce the completion of this transformative transaction, which crystallises significant value for our shareholders from the company’s efforts over the years to build a substantial resource inventory at the Cardinia gold project,” Kin Mining executive chairman Rowan Johnston said in the company’s ASX announcement.
“Kin is now in an enviable position in the junior resources space, with a very strong balance sheet and the ability to move forward with a range of exciting strategic opportunities.
“In the near term, we are excited to be drilling and testing the newly discovered VHMS horizons at Cardinia and then moving on with commencing drilling for deeper and higher grade gold targets.”