eMetals Limited (ASX:EMT) has entered into a binding tenement sale and purchase term sheet for a mineral tenement from Venus Metals.
The Directors of eMetals Limited (ACN 142 411 390) (ASX:EMT) (eMetals or Company), are pleased to announce that the Company has entered into a binding tenement sale and purchase term sheet (Acquisition Agreement) setting out the terms upon which eMetals acquires a mineral tenement from Venus Metals Corporation Limited (ACN 123 250 582) (Venus or Vendor) (Acquisition).
Situated within the Nardoo Hill province, the Vendor has agreed to sell, and the Company agreed to acquire 100% of the legal and beneficial right, title and interest in E09/2156 and any and all other mining tenement applied for or granted in renewal, substitution, variation, conversion or extension, in whole or in part, of that tenement (Tenement), free from all encumbrances, and all mining information relating to the Tenement.
The proposed Acquisition is consistent with the objectives of the Company and its intended business strategy of acquiring and investing in complementary companies or prospects to its existing projects including the Nardoo Well tenement in the Gascoyne Province of Western Australia.
eMetals Director, Mathew Walker commented, “Following the ASX release on 9 March 2020 which detailed the commencement of exploration activities on the Nardoo Well project, we are delighted to announce the acquisition of this adjoining tenement which will complement our existing project and may be readily integrated into the scheduled work program. The acquisition provides structural geological continuity and near term drill targets for the company to test. We expect to provide the market with a further exploration update in respect of planned drilling activities in the next two weeks.”
Summary of Key Terms for Acquisition of Tenement E09/2156:
Under the terms of the Acquisition Agreement, the Company will acquire E09/ 2156 (Tenement) in consideration for, A$15,000 in immediately available funds, 25,000,000 fully paid ordinary shares in the capital of the Company (issued at $0.014 per Share) and a royalty of A$0.50 per tonne of ore extracted from the area within the Tenement, payable in cash.