Australasian Gold is an unlisted company established in 2018, operated by an experienced geological team. It holds an additional prospective gold exploration license in the Ashburton region of Western Australia, within 30 kilometres of the Paulsens gold deposit held by Northern Star Resources Limited (ASX:NST).
The sale will allow IronRidge to maintain focus across its core African portfolio.
IronRidge will receive 4.5mln shares in Australasian Gold, representing 34.6 % of the enlarged share capital. Ironridge will also invest AUD$100,000 at A$0.10 per share to provide additional working capital, taking the total stake to 39.3%.
"We are pleased to be partnering with AGL on the divestment of our non-core May Queen gold project in South East Queensland, Australia,” IronRidge chief executive Vincent Mascolo said in a statement.
“The divestment provides IronRidge with significant project upside through exploration success by AGL, whilst allowing the Company to intensify capital focus and managerial momentum on our core suite of gold and lithium assets in Africa.”
May Queen is located in South East Queensland and is prospective for gold. Historic drilling completed during the 1980s intersected multiple high-grade gold intervals, including two metres grading 73.4 grams per tonne gold, four metres at 38.8grams and three metres at 18.9 grams over an approximate 100 metre strike.