Coppermoly Ltd has reached agreement with Barrick (PNG Exploration) Ltd to amend the terms of its agreement for the acquisition of Barrick’s interests in Coppermoly’s three key exploration assets - Nakru, Simuku and Talelumas.
The variation entitles Coppermoly to elect to satisfy all or some of the second payment in August by issuing shares to Barrick with any remaining portion being deferred until November 30, 2014 when Coppermoly may again elect to settle any deferred component by issuing shares to Barrick.
“This is an extremely valuable agreement,” Coppermoly’s managing director Maurice Gannon says. “We are pleased with Barrick’s co-operation in agreeing to this variation, which enables us to satisfy the second purchase price without drawing upon cash and to focus our efforts on exploration.
“Our recent work has proven that we have truly excellent exploration assets and this has really put the reacquisition strategy into perspective. In recent months we’ve brought together a great team. We have so many exciting prospects and we have carefully planned how we will go about proving them.
“Now and for the next few years at least any funds raised can finally be dedicated to the fullest extent possible to ‘in-the-ground’, high quality exploration. We have been working tirelessly to bring this to fruition for a long time,” Maurice Gannon says.
This second payment will take Coppermoly’s holding in the three exploration licences to 72%.
Coppermoly’s mineral exploration activities are focused entirely on the island of New Britain in Papua New Guinea where it holds six exploration licences. These licences cover copper, gold, silver, zinc, molybdenum and iron mineralization. The tenements are Simuku, Talelumas, Nakru, Makmak, Powell and Wowonga. www.coppermoly.com.au