Zenith Minerals (ASX: ZNC) has signed a binding heads of agreement with unrelated unlisted public company Bindi Metals Limited (Bindi) for the sale of the non-core Flanagans copper-gold tenement in Queensland for $450,000.
The sale is conditional on the successful listing via an initial public offering (IPO) of Bindi on the Australian Securities Exchange (ASX) before 31 December 2021, and other regulatory approvals. Upon completion Zenith will receive $200,000 cash and IPO shares valued at $250,000. Shares to be issued to Zenith are likely to subject to escrow.
The divestment further reinforces Zenith’s focus on its core, wholly owned gold and base metal projects. These projects include:
- Earaheedy zinc Joint Venture in Western Australia,
- Split Rocks gold in Western Australia,
- Red Mountain gold in Queensland, and
- Develin Creek copper-zinc in Queensland.