Goldsea is pulling the plug on its bid after Australia’s foreign investment board (FIRB) sought extra time to consider the deal as the country tightens rules around foreign investment.
Goldsea said the extension would have prolonged the FIRB decision to 10 months from its initial application in February.
Habrok is required to send its bidder's statement to Alto shareholders by no later than July 22 2020, being two months after the date of their original proposal.
Alto directors have advised that shareholders should TAKE NO ACTION in respect of the Habrok proposal until they receive further advice from the board.
Gold resource expansion
Last month, Alto updated the resource estimate for its Sandstone Gold Project in Western Australia after a 3,700-metre drilling program in March.
The estimate from Snowden Mining Industry Consultants advises that the inferred mineral resource has increased 60% to 1.8 million tonnes at 1.9 g/t for 109,000 ounces.
This represents an increase of 840,000 tonnes for an extra 41,000 ounces.