Emerging resource company Bligh Resources has agreed to sell its Bundarra Project in the Eastern Goldfields to Saracen Mineral Holding for share consideration of A$8.5 million.
The sale price values Bligh’s shares at approximately $0.038, which represents a premium of about 40% to the 30-day volume weighted average price of $0.027.
Bligh said the transaction is conditional upon signing a formal sale and purchase agreement (SPA) and is subject to the usual conditions precedent.
“It is expected that the SAP will be finalised by the end of February 2017, and thereafter a notice of meeting of Bligh shareholders will be dispatched. It is anticipated the Transaction will be completed in April 2017,” Bligh told the ASX.
The Bundarra Project is located 35 km North of Bligh’s Leonora project at Diorite King. Covering over 17 square km, the project includes six granted mining leases with four deposits including Celtic Open Pit and Celtic South Deposit; Wonder North and Wonder West Open Pits; and Blue Bush Deposit.