lackstone Minerals Ltd. said Aug. 6 that it entered into a binding option deal with Golden Pacific Resources Ltd. to divest its noncore Red Gate project in Western Australia for A$1 million.
The project consists of a granted exploration license covering 145.2 square kilometers.
Golden Pacific is targeting an IPO on the ASX later in the year and was granted an exclusive option to acquire the project until Dec. 21. Following completion of the listing, the option will be deemed to be exercised.
The company will then pay A$500,000 in cash within five days of its listing, and the remaining A$500,000 of shares will be issued at the IPO price within 10 business days of the listing.
Following its IPO, Golden Pacific intends to bring two to three gold projects to the market, with Red Gate being its flagship asset.