19th Aug 2022 09:19
Greatland Gold PLC - mine developer and explorer in Western Australia - Says Newcrest Mining Ltd has elected not to exercise the option to buy an additional 5% interest in the Havieron joint venture deal at a price of USD60 million. Says Greatland will retain 30% ownership in the JV, as it believes this outcome "delivers substantial medium to long term value to Greatland". Says it had previously made a non-binding offer to Newcrest to acquire for USD85 million, a 5% stake in Havieron.
Managing Director Shaun Day says: "Greatland had previously offered Newcrest significantly higher value to acquire a 5% stake from Newcrest which, in the opinion of the directors, still presented a financially compelling outcome to Greatland shareholders. Accordingly, today's outcome is tremendous, particularly in the context of the ongoing potential of Havieron."
The Havieron copper-gold project is located in west Australia. It is operated by Newcrest under a joint venture agreement with Greatland. Newcrest holds a stake of 70% and Greatland holds a 30% stake.
Current stock price: 10.39 pence, down 4.7%
12-month change: down 36%
By Xindi Wei; [email protected]
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