Tombola Gold (TBA) has taken over full ownership of the Golden Mile project in Cloncurry, Queensland.
The company paid the final consideration of $50,000 to fellow ASX-lister Aeris Resources (AIS), increasing its ownership from 93 per cent.
The project has a total gold resource of 672,000 tonnes with 65,000 tonnes in the indicated category for 6600 ounces grading 3.15 grams per tonne (g/t) gold, and 607,000 tonnes in the inferred category with 31,600 ounces grading 1.6 g/t gold.
Tombola said finalising the acquisition provides a boost to its share of the production of material from Golden Mile through the Great Australian Mine (GAM) processing plant.
Mining is underway at the project including at the Mt Freda gold complex, meanwhile haulage to the GAM plant is in progress.
Tombola Gold Managing Director Byron Miles said mining at this project forms a key part of the company’s strategy to become a significant gold producer in 2022.
“With first gold production and cash flow on track for 2022, it was prudent for Tombola to move to 100 per cent ownership of Golden Mile.
“I would like to thank the team from Aeris Resources, which formerly held a partial ownership in the project, for their ease and assistance in finalising the transaction,” he said.
Tombola shares were up 11.5 per cent at 2.9 cents, while shares in Aeris Resources were up 3.13 per cent at 49.5 cents just before market close.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.