Aeris settles Yandan sale

13th January 2021 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Copper and gold miner Aeris Resources (ASX: AIS) today announced the completion of the sale of the Yandan gold exploration project, in Queensland, to fellow listed GBM Resources.

Under the terms of the sales agreement, GBM has now paid Aeris A$3-million worth of its own shares, priced at 13.5c each, with a 1.5% net smelter royalty also payable on the first 300 000 oz of gold equivalent mined from the tenement area.

Aeris said on Wednesday that the company has also subscribed for a placement of A$1-million of shares in GBM at 13.5c a share. Following the issue of the shares, Aeris will hold some 29.6-million shares in GBM, representing a shareholding of 6.85%.

“Taking an equity position in GBM in exchange for Yandan enables Aeris to maintain an exposure to the highly prospective Drummond basin while we concentrate on our core producing assets,” said Aeris executive chairperson Andre Labuschagne.

The Yandan gold mine was operated by Ross Mining between 1985 and 1990 and produced more than 350 000 oz of gold. The project currently has a mineral resource estimate of some 308 000 oz, with regional studies having identified other mineralised centers with significant potential.