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Gold mining

Sunshine Metals Limited to Divest Triumph to Dart Mining for $2 Million

Strategic Insights

— 1 min read

Sunshine Metals Limited has agreed to sell its Triumph project to Dart Mining for $2 million, with the transaction expected to complete in October 2024. The divestment will allow Sunshine to focus on its core Ravenswood Consolidated project, while Triumph will be progressed by Dart Mining's capable team. The Triumph project, located in Central Queensland, has a defined resource of 118koz Au and numerous exploration targets.

Key Takeaways:

  • The total consideration for the divestment is $2 million, consisting of $1 million in cash and $1 million in Dart shares.
  • The cash payment will be made in two installments: $50,000 upon sale and purchase agreement execution and $950,000 upon completion.
  • The Dart shares will be subject to a voluntary escrow period of 3, 6, and 12 months, respectively.
  • Upon completion, Dart Mining will hold a 100% interest in the two Triumph project tenements, EPM 18486 and EPM 19343.
  • The divestment is subject to Dart shareholder approval, regulatory approval for the transfer of tenements, and third-party consent to the transfer of associated agreements.
  • Sunshine will retain its focus on Ravenswood Consolidated, which has a substantial high-grade gold and base metal resource and numerous exploration targets.
  • Resource extensional diamond drilling is underway at Liontown, with assay results expected in early September 2024.
  • The Triumph project has a defined resource of 118koz Au and is located ~50km south of the mining hub of Gladstone in Central Queensland.
  • Best drill intersections to date include 10m @ 26.86g/t Au, 16m @ 8.44g/t Au, and 4m @ 27.12g/t Au.
  • The resource is shallow and open in all directions, with only ~25% of the interpreted structure in the Southern Corridor having been drilled.

Statistics:

  • The total consideration for the divestment is $2 million.
  • The cash payment will be made in two installments, with the first installment of $50,000 paid on sale and purchase agreement execution and the second installment of $950,000 paid upon completion.
  • The Dart shares will comprise 50% of the total consideration, with 25% subject to each of the 3, 6, and 12-month escrow periods.
  • The Triumph project has a defined resource of 118koz Au.
  • Resource extensional diamond drilling is underway at Liontown, with assay results expected in early September 2024.

Sources:

  • Sunshine Metals Limited (ASX:SHN) news release
  • ASX announcement: SHN - 24 August 2024
  • Queensland Government Department of Environment and Science: EPM 18486 and EPM 19343

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