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- Greenstone Resources (GSR) enters a binding agreement with Horizon Minerals (HRZ) to acquire four separate licences near Coolgardie, Western Australia
- The acquisition includes the historical Phoenix underground gold mine and the Kangaroo Hill project for a total consideration of $300,000 to be paid in cash and shares
- Greenstone expects the acquisition will be finalised in the current quarter and looks forward to drill testing the projects
- GSR shares are trading 3.23 per cent higher at 6.4 cents each and HRZ is down 1.28 per cent to trade at 7.7 cents at 11:41 am AEST
Greenstone Resources (GSR) has entered a binding agreement with Horizon Minerals (HRZ) to acquire four separate licences near Coolgardie, Western Australia.
The acquisition will comprise of two prospecting licences and two mining leases for a total consideration of $300,000 to be paid in cash and shares.
This includes the high-grade historical Phoenix underground gold mine and the Kangaroo Hill project.
The Phoenix mine has seen limited exploration and aligns with Greenstone’s regional consolidation strategy to acquire underexplored brownfield assets.
Meanwhile, Kangaroo Hill is contiguous to the company’s Burbanks gold project, with mineralisation interpreted to be an extension of the Burbanks shear zone.
GSR Managing Director and CEO Chris Hansen said the company is focused on building continued value within its gold portfolio.
“With the arrival of a second multipurpose drill rig later this month which will work across the Coolgardie gold projects, we are excited to test both Phoenix and Kangaroo Hill,” he said.
Horizon’s rationale for selling the assets is that they’ll provide it with cash and upside exposure to the projects.
The acquisition is expected to be finalised during this quarter, subject to due diligence and Ministerial consent.
GSR shares were trading 3.23 per cent higher at 6.4 cents each and HRZ was down 1.28 per cent to trade at 7.7 cents at 11:41 am AEST.
