Macarthur Minerals looks to Infinity and beyond

export

Macarthur Minerals (MIO) will focus on the production of its iron ore resources following a plan to spin out its Pilbara-based gold and copper assets to subsidiary Infinity Mining.

Formerly known as Macarthur Australia, Infinity holds all MIO’s gold, copper and lithium tenements through its own subsidiary, Macarthur Lithium.

These tenements include include the Hillside Gold and Copper Project, the Panorama Gold Project and the Tambourah Lithium Project.

According to a company statement, MIO proposes to undertake an initial public offering of Infinity and apply for its listing on the ASX.

“This strategy will fast-track further exploration and the future development potential of the Pilbara assets and allow Macarthur to focus solely on the development of its flagship iron ore projects situated in the Yilgarn region of south-western Western Australia,” it stated.

“Infinity also holds an exclusive right to undertake due diligence on 10 historic gold/copper tenements in the Leonora area of the Central Goldfields region of Western Australia, held by Zanil.”

Macarthur Minerals managing director Joe Phillips said an independent technical report on the Pilbara and Central Goldfields assets had been compiled to support the transaction.

“Macarthur’s board has carefully considered all available options and we believe the value of the Pilbara gold/copper/lithium assets is not reflected in the current share price of Macarthur and see this as a way to create additional value for shareholders via a priority IPO spin-off to be listed on the ASX,” he said.

“The addition of the Central Goldfields assets into the portfolio will provide the new company access to potential surface gold historically identified that may be toll treated through regional gold mines.

“The new vehicle will evaluate opportunities outside of the iron ore space and will ensure that Macarthur retains its primary focus on the Lake Giles Iron Project.”

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.