https://www.miningweekly.com

Regis buys Ben Hur

12th August 2020

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

Font size: - +

PERTH (miningweekly.com) – Gold miner Regis Resources has struck a A$10-million deal with fellow-listed Stone Resources to acquire the Ben Hur gold project, in Western Australia.

Under the terms of the agreement, Regis would pay A$10-million worth of its own shares, priced on the basis of the five-day volume weighted average price prior to the completion of the transaction, to Stone Resources, along with a 1% net smelter royalty after the production of the first 100 000 oz of gold from the royalty tenement.

The net smelter royalty will be capped at A$5-million, after which the royalty would revert to a 0.0025% net smelter royalty for a period of four years.

The transaction is subject to a number of conditions, including shareholder and Ministeral approval.

The Ben Hur project is made up of two exploration licences, three prospecting licences and one miscellaneous licence, as well as three mining leases. The project is estimated to host some 5.8-million tonnes of resource, grading 1.6 g/t gold for 290 000 oz of contained gold.

Regis told shareholders on Wednesday that the acquisition of the Ben Hur project had the potential to add further life to the Duketon operations, and would expand the ongoing Duketon greenstone belt exploration programme.

“The acquisition of this resource and tenement package is significant to us. The deal will enable Regis to potentially add the Ben Hur deposit to the Duketon operation production portfolio,” said Regis MD Jim Beyer.

“At the same time, the exploration tenure acquired with the Ben Hur deposit has the potential for additional ounces to be discovered and added to our already substantial resource and reserve holdings. We are very excited by the potential for exploration success and I look forward to keeping investors informed as we move forward on these tenements.”

Stone Resources told shareholders that the divestment of the Ben Hur project was an important step in the company’s recapitalization process, and would allow the company to advance the development of its Brightstar gold project, in Western Australia.

Edited by Creamer Media Reporter

Comments

The content you are trying to access is only available to subscribers.

If you are already a subscriber, you can Login Here.

If you are not a subscriber, you can subscribe now, by selecting one of the below options.

For more information or assistance, please contact us at subscriptions@creamermedia.co.za.

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION