PERTH (miningweekly.com) – Junior explorer Pursuit Minerals has settled the sale of its Scandinavian assets to LSE-listed Kendrick Resources for A$3.1-million.
Pursuit at the start of last year struck an agreement with Kendrick, which was at that point an unlisted company, to divest of its nickel and vanadium projects in Norway, Sweden and Finland.
With the transaction now settled, Pursuit will be issued A$2.35-million in Kendrick shares, amounting to 37.9-million shares in the company, with 36% of the shares to be free trading, while the balance would be free trading over 18 months, in three equal tranches.
Pursuit will also receive A$250 000 in cash on the completion of a bankable feasibility study on any of the Scandinavian projects demonstrating an internal rate of return of no less than 25%, and a A$500 000 payment upon a decision to mine at any of these projects.
“Pursuit is very pleased to confirm that Kendrick has settled on the purchase of our Scandinavian projects. The company and its shareholders have the opportunity to participate in the growth of the Scandinavian projects through Kendrick. Pursuit is now fully focussed on its Warrior and Commando projects,” said Pursuit MD Bob Affleck.