JOHANNESBURG (miningweekly.com) – Dual-listed Galileo Resources has sold its Gabbs gold-copper property in Nevada, in the US, to Waterton Precious Metals Fund II for $2.5-million in cash.
The sale enables the company to reduce exposure to gold exploration and focus on exploration and funding of its Concordia copper project in South Africa.
"The cash received will cover our short-to-medium-term working capital. The board agreed to the sale based on its strategy to focus on copper and particularly in Southern Africa," says CEO Colin Bird.
Under the terms of a cooperation and joint venture (JV) agreement with Concordia’s owner Shirley Hayes, Galileo has the right to earn a 51% beneficial interest in the project by spending R10-million on exploration and development over 14 months.
Galileo last week reported that an exploration desktop study had identified and ranked seven high-priority prospective copper targets within the project area that have the potential for shallow, near-surface, openpit copper mineralised zones.
The company, meanwhile, retains its greenfield Ferber copper-gold and Crow Springs gold properties, in Nevada, but is continuing to seek potential JV or farm-out partners for these assets.