PERTH (miningweekly.com) – Junior Thomson Resources has signed a farm-in and joint venture agreement with a private North American investor that could net as much as A$22-million.
ASX-listed Thomson said on Monday that the investor could earn a 51% stake in the Bygoo tin project, in New South Wales, for an initial A$3-million investment, that would be staged to November 2017.
The investor would also have an option to contribute additional funds to earn a further 25% interest.
The option would be exercisable until October 2018, at an exercise price of A$22-million, with an initial payment starting at A$4-million.
Thomson told shareholders on Monday that the farm-in funding removed the financial constraints on the company to develop the project towards production.
The Bygoo project consists of three exploration tenements, which cover most of the Ardlethan tin field. Drilling will start at Bygoo North as soon as practical.
Edited by: Creamer Media Reporter
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