Marmota to divest West Melton copper project to G4 Metals

Marmota, a South Australian mining exploration company, has signed a binding heads of statement with G4 Metals to divest its rights to the West Melton copper tenement exploration licence, known arsenic EL6701, successful a A$1m ($647,160) deal.

The determination aligns with G4's strategy to bolster its portfolio of copper-focused assets successful South Australia.

The statement is contingent upon G4 conducting exploration activities successful 2025 and an archetypal nationalist offering (IPO) successful 2026, taxable to marketplace conditions.

Under the presumption of the agreement, Marmota grants G4 an exclusive close to get the tenement arsenic the second advances towards its IPO.

If G4 does not execute a palmy IPO by 31 December 2026, Marmota reserves the close to propulsion retired from the agreement.

G4 volition contented shares to Marmota valued astatine A$1m, effectual from the day of a palmy IPO.

Additionally, Marmota is entitled to show payments successful G4 scrip based connected the find of important copper resources wrong the tenement oregon G4's Yorke Peninsula tenements.

The archetypal outgo of A$250,000 volition beryllium owed upon declaring a JORC assets exceeding 50,000 tonnes (t) of copper, with a consequent outgo of A$250,000 upon declaring a assets surpassing 100,000t of copper.

Prior to the transportation of the tenement, G4 has made a preliminary currency outgo of A$5,000 to Marmota to screen tenement fees and medication costs.

The transaction's completion is besides taxable to receiving the indispensable ministerial approval.

Marmota president Colin Rose said: “This woody has been specially structured with G4 Metals – a institution being acceptable up to beforehand copper projects successful South Australia – successful specified a mode that Marmota’s shareholders volition proceed to beryllium exposed to the upside by taking a important involvement successful the caller company.

“We look guardant to moving with G4 to finalise the sale, and to aboriginal occurrence successful processing these assets successful a premier copper tenement, successful an country with a arrogant past of copper mining.”

"Marmota to divest West Melton copper task to G4 Metals" was primitively created and published by Mining Technology, a GlobalData owned brand.

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