Shareholders and optionholders of Vancouver-based copper/gold explorer and developer NGEx Resources have approved the spin-out of the company’s Los Helados project and other exploration properties into a wholly-owned subsidiary NGEx Minerals.
The arrangement will include a transfer of the Los Helados project, in Chile, and exploration properties along with $7.3-million in cash to the new company, the shares of which will be distributed to existing NGEx Resources shareholders.
The spin-out will allow NGEx Resources to focus on the more advanced Josemaria project, in Argentina, which is advancing to the feasibility study stage. The company will change its name to Josemaria Resources and will trade on the TSX and OMX.
The spin-out company will be listed on the TSX-V.
The arrangement is expected to be completed by mid-July.