Talga Resources Ltd. said Feb. 1 that it granted GBM Investments No 1 Pty Ltd an exclusive three-month option to purchase its Bullfinch gold project in Western Australia for A$400,000.
Talga received a nonrefundable A$50,000 deposit as part of the option agreement, and the transaction will conclude upon exercise of the option for a A$350,000 payment.
Additionally, Talga will retain a 1% gross royalty payable on the net smelter return of minerals extracted from the project.
The company will use the proceeds from the sale and any royalty payments for its technology materials development program in Europe.
Completion of the sale will result in Talga divesting its remaining Australian gold assets.