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Castillo Copper Limited (CCZ) confirmed that Infinity Mining's (IMI) shareholders approved the acquisition of the Cangai Copper Mine Project on 28 November 2024. A binding Tenement Sales Agreement has been executed, with IMI issuing CCZ 40 million shares and 20 million options as consideration. The options have a 5-year term and a $0.07 exercise price.
| Date | 2 Dec 2024 |
| Time | 07:00:06 |
| Category | Disposals |
| ID | 2778O |
2 December 2024
CASTILLO COPPER LIMITED
("Castillo", "CCZ" or the "Company")
Divestment of Cangai Copper Mine
Castillo Copper Limited (LSE and ASX: CCZ), a base metal explorer primarily focused on copper across Australia and Zambia, is delighted to confirm that Infinity Mining's (ASX: IMI) shareholders approved the Cangai Copper Mine Project acquisition at a General Meeting1 held on Thursday, 28 November 2024 and a binding Tenement Sales Agreement has now been executed between the parties.
HIGHLIGHTS:
· Under the terms of the divestment, IMI will issue CCZ 40m shares and 20m options (5-years @ $0.07 exercise price) as consideration for the acquisition1
· Consequently, with CCZ becoming a significant shareholder, it should benefit from any value created as IMI's plans to undertake a comprehensive exploration campaign across the Cangai Copper Mine Project unfold
· The successful divestment of the Cangai Copper Mine Project (for equity consideration) is CCZ's second non-core asset sale in the last 12-months:
o Pleasingly, value created from exiting the position in ASX-listed Rimfire Pacific Mining NL (ASX: RIM) - received from selling the Broken Hill West Project - will be redeployed to advance the Harts Range Niobium-Uranium Project in the Northern Territory2
· For the remaining coppers assets, the Board's plans are two-fold:
o Secure a strategic partner to progress the NWQ Copper Project, commencing with the Big One Deposit; and
o Hold the remaining two non-core assets - Broken Hill East Project in NSW and Mkushi Copper Project in Zambia - until they are sold
Ged Hall, Chairman, commented: "This is excellent news as it coincides with CCZ shortly changing its name to New Frontier Minerals and rechannelling efforts into developing the Harts Range Uranium, Niobium and Rare Earth Elements Project in the Northern Territory. The Board's strategy to hold non-core assets until the right development partner materialises has the potential to unlock significant value that can be redeployed to advance the core Harts Range Project. The Board has an exciting exploration agenda for 2025 and looks forward to progressing this at an accelerated pace."
For further information, please contact:
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Castillo Copper Limited |
+61 8 6558 0886 |
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Gerrard Hall (UK), Chairman |
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SI Capital Limited (Financial Adviser and Corporate Broker) |
+44 (0)1483 413500 |
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Nick Emerson |
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Gracechurch Group (Financial PR) |
+44 (0)20 4582 3500 |
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Harry Chathli, Alexis Gore, Henry Gamble |
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ABOUT CASTILLO COPPER
Castillo Copper Limited is an Australian-based focussed explorer, with a strategy to develop multi-commodity assets that demonstrate future potential as an economic mining operation.
Through the application of disciplined and structured exploration, Castillo Copper has identified assets deemed core and is actively progressing these interests up the value curve.
Current focus will be on advancing exploration activity at the Harts Range Niobium, Uranium and Heavy Rare Earths Project which is circa 120km north-east from Alice Springs in the Northern Territory.
Other interests include the NWQ Copper Project, situated in the copper-belt district circa 150km north of Mt Isa in Queensland, Broken Hill Project in western New South Wales and exploration targets in Zambia.
Castillo Copper is listed on the LSE and ASX under the ticker "CCZ".
REFERENCES
1) IMI ASX Releases - 28 October 2024 and CCZ ASX Release - 3 October 2024
2) CCZ ASX Release - 28 October 2024