Hillgrove Resources (ASX:HGO) completed the AU$5 million stage one consideration payment to Havilah Resources (ASX:HAV) under the farm-in agreement on the Mutooroo project in South Australia, according to a Friday filing with the Australian bourse.

The company issued 116.3 million shares as well as 116.3 million unlisted options at an exercise price of AU$0.052, with an expiry date of June 29, 2028, the filing said.

The issue of the shares and options was conditional on the renewal of exploration license 6592, which was fulfilled on May 22.

Meanwhile, the first phase of the Mutooroo pre‑feasibility study has started, with mobilization of the study team underway, per the filing.

Havilah Resources shares rose 2% in midday trade Friday.