Alien Metals Ltd - exploration company focused on Australia, Mexico and Greenland - Enters binding heads of agreement to acquire 30% joint venture interest in Munni Munni PGM and gold project in Pilbara, Australia from ASX-listed Platina Resources Ltd for AUD2.2 million, around GBP1.2 million, in shares and cash.
Munni Munni's JORC 2004 resource estimate implies 24 million tonnes at 2.9 grams per tonne of platinum and 2.2 million ounces in platinum group element and gold.
The payment comprises AUD2.0 million in Alien Metals shares and a cash payment of AUD250,000.
The acquisition is subject to several conditions, including regulatory approvals and third party consents.
Artemis Resources Ltd will hold the remaining 70% interest in Munni Munni.
"We are very excited to commence the consolidation of the Munni Munni and Elizabeth Hill region. The presence of one of Australia's largest unmined PGE deposits located so close to one of Australia's highest grade silver deposits provides an amazing exploration and development opportunity," says Chief Executive Officer Bill Good.
"We believe that the robust demand for PGEs via the transition to electric vehicles will lead to projects like Munni Munni being in high demand. Subsequently, should the acquisition complete, we look forward to further advancing the project with Artemis our JV partner," Good adds.
Current stock price: 0.78 pence
Year-to-date change: down 38%
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Alien Metals (UFO)