Rivet Group Executive Chairman, Mark Rowsthorn
Source: Rivet Group
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  • Gascoyne Resources (GCY) confirms it did receive and reject an unsolicited indicative proposal from Rivet Group for its Snake Well Gold Project
  • The gold producer says Rivet offered to buy the gold rights from its WA-based asset, but required GCY to walk away from its Firefly Resources (FFR) merger
  • Firefly and Gascoyne agreed to merge in June, with plans to also spin-off their copper, gold and lithium assets into a new energy metals business
  • GCY says after receiving Rivet’s bid, the board unanimously determined the offer wasn’t a superior proposal and rejected it
  • Shares in Gascoyne Resources are up 1.61 per cent at 31.5 cents each

Gascoyne Resources (GCY) confirms it has turned down an unsolicited indicative proposal from Rivet Group for its Snake Well Gold Project.

The gold producer said on Tuesday that Rivet offered to buy the gold rights from its 100 per cent owned asset near Yalgoo in WA.

However, under the offer GCY would be required to walk away from its current merger with fellow ASX-lister Firefly Resources (FFR).

Firefly and Gascoyne agreed to merge back in June, with GCY set to acquire all of the shares in FFR via a scheme of arrangement

The two companies also agreed to spin-off their copper, gold and lithium assets into a new energy metals business.

Additionally, under the merger the businesses would be able to combine Firefly’s Yalgoo Project into GCY’s Dalgaranga production plan.

Commenting on the latest bid from Rivet though, Gascoyne said “the board unanimously determined the offer wasn’t a superior proposal”.

The company added it received advice from its external advisors and undertook a preliminary assessment of the technical risks associated with the project before rejecting Rivet’s bid.

Following the proposal news, shares in Gascoyne Resources were up 1.61 per cent at 31.5 cents each at 3:43 pm AEST.

GCY by the numbers
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