Sandfire Resources will secure a 19.99 per cent share of Auris Minerals once it completes the offloading of the Sams Creek gold project in New Zealand.
The company has exercised 32,150,000 Auris shares as part of the its 80 per cent of acquisition of the project.
When completed, the acquisition will give Sandfire a 19.99 per cent cornerstone share in Auris.
Auris has welcomed Sandfire’s endorsement of the Sams Creek project, flagging that it will also accelerate exploration programs at its tenements in the Byrah Basin in Western Australia alongside Sams Creek.
“We are very pleased to welcome Sandfire on to the Company’s register as a substantial shareholder,” Auris chairman Neville Basset said.
“Following the recent completion of due diligence on the proposed acquisition of an 80% interest in the Sams Creek Gold Project and the existing ongoing relationship with Sandfire in joint venture on various tenements held in the Bryah Basin, we look forward to further strengthening the partnership and working toward a rewarding outcome for all shareholders.”
Auris has completed due diligence at Sams Creek and is now conducting exploration works at the site, which includes Sandfire-funded diamond drilling.
Sandfire previously offloaded its interest in the Sams Creek gold project to Auris for $23.2 million, stating that it was “non-core” to the company.