Straits Mineral Investments now has a 5.22% stake in gold explorer GBM after receiving 22.22 million shares.
Sale of Yandan project
This follows Aeris completing the sale of the Yandan Gold Exploration Project to GBM.
As consideration, Aeris has received $3 million in GBM shares at $0.135 per share and will also receive a 1.5% Net Smelter Royalty (NSR) on the first 300,000 ounces of gold equivalent mined from the Yandan tenements.
The company has also subscribed for a placement of $1 million worth of shares in GBM at $0.135 per share and following this will hold around 29.6 million shares in GBM.
Aeris executive chairman Andre Labuschagne said: “Taking an equity position in GBM in exchange for Yandan enables Aeris to maintain an exposure to the highly prospective Drummond Basin while we concentrate on our core producing assets.”
GBM Malmsbury JV
GBM recently executed a formal purchase and joint venture agreement with Novo Resources Corp (TSE:NVO) for the Malmsbury Gold Project in the prolific Victorian Goldfields.
The Foreign Investment Review Board (FIRB) and Department of Jobs, Precincts and Regions (DJPR) approvals remain as the final steps of the formation of the joint venture (JV) and are expected within the March quarter of 2021.
Malmsbury has an existing inferred resource of 104,000 ounces of gold (820,000 at 4 g/t gold).
The partnership with Novo is expected to greatly accelerate potential discovery and resource delineation timeframes at Malmsbury.