PERTH (miningweekly.com) – Copper miner Sandfire Resources has taken a 7.7% interest in fellow-listed Adriatic Metals, subscribing for A$2-million in shares.
Adriatic recently completed an initial public offering, raising A$10-million in the process.
“We welcome Sandfire as a strategic investor and partner of Adriatic as we transition to a publicly listed company. Securing a high-quality partner with world leading expertise in the exploration and development of base metals projects, is a strong endorsement to the quality and potential of Adriatic’s portfolio following an exhaustive period of due diligence,” said Adriatic CEO Geraint Harris.
Adriatic is a zinc polymetallic explorer and developer focused on its Vares project, in Bosnia & Herzegovina.
In addition to the share subscription, Sandfire and Adriatic have also entered into a strategic partnership agreement, which would see Adriatic benefit from Sandfire’s technical and strategic expertise.
It was hoped that the partnership would assist Adriatic to fast-track the feasibility and development of its Veovaca and Rupice projects.
As part of this strategic relationship and subject to either the waiver or satisfaction of any applicable listing rules, Sandfire will hold an anti-dilution right that will enable it to maintain its interest at the strategic partnership.