REG - Tertiary Minerals - Sale of Royalty Interests

Tertiary MineralsAnnouncement

08/08/2022 07:00

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RNS Number : 1661V  Tertiary Minerals PLC  08 August 2022

 8 August 2022

 

Tertiary Minerals plc ("Tertiary" or "the Company")

 

SALE OF ROYALTY INTERESTS

Tertiary Minerals plc is pleased to announce that it has accepted a binding
offer from Aurion Resources Ltd ("Aurion") for the purchase of Tertiary's
royalty interests in the Kaaresselkä and Kiekerömaa Gold Projects in
Finland.

The consideration payable on closing of a formal sale and purchase agreement
is:

·  CAD$200,000, to be paid in cash, and

 

·  The issue to Tertiary of 83,333 common shares in Aurion Resources Ltd
(the "Consideration Shares").

The Consideration Shares will be subject to a statutory four month and one day
hold period from closing. The agreement is also subject to acceptance by the
TSX Venture Exchange.

The closing price of Aurion's shares on the TSX.V exchange on Friday 5 August
2022 was CAD$0.68.

 

Commenting today, Executive Chairman Patrick Cheetham said:

"The proceeds of the sale will be applied to the Company's exploration
projects in Nevada, where we are awaiting assay results from trenching at the
Brunton Pass Copper Project, and in Zambia where a successful drilling
programme was recently completed at the Jacks Copper Project. The Company is
building an attractive portfolio of exploration projects in Zambia and we are
pleased to be generating these additional exploration funds from internal
resources. We are also pleased to become a shareholder in Aurion once again at
a time when its interests in the Risti and Helmi gold discoveries in Finland
are delivering exciting exploration results close to Rupert Resources' 4Moz
Ikkari gold discovery."

 

 

For more information please contact:

 Tertiary Minerals plc:
 Patrick Cheetham, Executive Chairman      +44 (0) 1625 838 679
 SP Angel Corporate Finance LLP

 Nominated Adviser and Broker
 Richard Morrison                          +44 (0) 203 470 0470
 Caroline Rowe
 Peterhouse Capital Limited

 Joint Broker
 Lucy Williams        + 44 (0) 207 469 0930
 Duncan Vasey

 

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 which forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this
announcement via a Regulatory Information Service ('RIS'), this inside
information is now considered to be in the public domain.

 

Additional Information.

The Kaaresselkä and Kiekerömaa Gold Projects were sold to Aurion in 2016 for
£100,000, £15,000 of which was paid in cash and £85,000 of which was
settled in Aurion Shares which were subsequently sold (2017) for £116,264. At
the time of the sale, Tertiary retained royalties on both the Kaaresselkä and
Kiekerömaa Gold Projects comprising (i) a pre-production royalty on
definition of a Minerals Resource Estimate on either project, with US$1.00,
US$2.00, and US$3.00 payable per ounce of gold in the Inferred, Indicated and
Measured Mineral Resource categories respectively; and (ii) a Net Smelter
Returns Royalty (NSR) of 2% on all future gold production from either
property. The liability to pay the Kiekerömaa royalty was novated by Aurion
to B2Fingold Oy (a joint venture company owned by Aurion and B2 Gold
Corporation Ltd) in 2021.  The unaudited book value of the Kaaresselkä
royalty was £260,477 and of the Kiekerömaa royalty was £97,326 on 30 June
2022. There has been no revenue associated with either royalty to date and
both projects are at the exploration stage.

 

 

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