Elysium Resources has entered into a binding agreement with Hardey Resources Pty Ltd to purchase 100 per cent of the company, which comprises five gold and base metal projects located in the Pilbara region of Western Australia - being the Bellary, Hamersley, Cheela and Elsie North Projects - covering 512km2 of Fortescue Group Rocks. In addition, the Grace Project located in Paterson Province in Western Australia has been acquired.
In the Fortescue Group of rocks, Elysium plans to focus on 46 identified sites of interest initially. Announcement of the acquisition resulted in a share increase of 150 percent for Elysium, over two hours of trading. The acquisition of Hardey themselves has been broken down into various share options, including existing Elysium shares, capital raising share, options considerations and a small percentage of exclusivity shares
An extension license covering 163 square kilometres, was applied for back in November by Hardey and from positive results for gold, led to eventual expansion into a 512 square kilometre tenement. After this discovery, other companies such as De Grey Mining and Artemis also became involved in the region.
Executive director of Elysium, Terence Clee, was evidently pleased with the deal.
“This deal elevates Elysium into the Pilbara as a genuine explorer with a highly prospective tenement portfolio and experienced management team,” he said.
“The work undertaken by Hardey as a first mover in the Pilbara gold rush has positioned the company well with high-quality gold projects prospective for conglomerate-hosted gold and high-grade orogenic gold, following in the footsteps of Novo Resources.”
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