PERTH (miningweekly.com) – Shareholders of Metals X are expected to vote on the demerger of the company’s gold assets into a separately ASX-listed company on November 24.
The diversified junior has previously revealed plans to spin off its gold assets into the newly listed Westgold Resources. The new company will feature as one of Australia’s top ten domestic gold producers, with a production rate of 250 000 oz/y and the potential to produce 400 000 oz/y in the next two years.
If the demerger is approved by shareholders, and the conditions are satisfied, eligible shareholders will receive one Westgold share for every two Metals X shares held on the record date.
In addition to shareholder approval, the demerger is subject to ASX approval and the receipt of a favourable draft class ruling from the Australian Taxation Office in regards to the demerger.
Westgold shares are expected to start trading on December 2.