Established Australian copper-gold producer and explorer, Aeris Resources (ASX: AIS) today announced the completion of the sale of the Yandan gold exploration project to GBM Resources (ASX: GBZ).
As consideration for the sale of Yandan, Aeris receives $3 million in GBM shares (at $0.135 per share) and a 1.5% Net Smelter Royalty on the first 300,000 ounces of gold equivalent mined from the Yandan tenements. The Company has also subscribed for a placement of $1 million of shares in GBM at $0.135 per share. Following the issue of the shares to Aeris, the Company will hold approximately 29.6 million shares in GBM, a shareholding of 6.85%.
Aeris’ Executive Chairman, Andre Labuschagne, said: “Taking an equity position in GBM in exchange for Yandan enables Aeris to maintain an exposure to the highly prospective Drummond Basin while we concentrate on our core producing assets.”