PERTH (miningweekly.com) – Junior Phosphate Australia has sold its Tuckanarra gold project, in Western Australia, to Canadian miner Monument Mining for A$3.9-milllion.
The transaction would include a A$2-million cash payment and 10-million shares in Monument Mining, valued at about A$1.9-million.
Phosphate Australia told shareholders on Friday that the sale of the asset was an "excellent" outcome for the company and would represent a substantial boost to the cash backing of Phosphate Australia as it opened a number of options to the company going forward.
The junior intended to use the cash component of the sale for potential future acquisitions, exploration and general working capital.
The Tuckanarra project has an inferred resource of more than two-million tonnes, grading 1.55 g/t gold for 100 700 oz of gold. The project has previously produced some 125 000 oz of gold.