Classic Minerals sees best day ever on securing funding for project

Classic Minerals

09/09/2022 05:31

** Shares of Classic Resources Ltd  CLZ.AX  rise as much as
300.0% to A$0.064, eyeing their best day ever, if gains hold
    ** The mineral explorer says it has secured A$10 mln ($6.82
mln) in funding to bring its Kat Gap gold project in Western
Australia into production  urn:newsml:reuters.com:*:nASX4J76zH
    ** Stock hits its highest since July 12
    ** Co says its has entered a deal with Goldvalley Brown
Stone Pty Ltd, under which Goldvalley will provide funding of
A$10 mln to co
    ** Under deal, co will provide Goldvalley with Kat Gap ore
which contains ~90,000 oz mineral resource in exchange for
capital to fund the project 
    ** Says net profits from gold production will be shared
between the cos with Classic Resources acquiring 70% of total
profit 
    ** Shares are down 89.3% YTD, as of last close on Sept. 1 

($1 = 1.4665 Australian dollars)

($1 = 1.4663 Australian dollars)

 (Reporting by John Biju in Bengaluru)
 ((john.biju@thomsonreuters.com))