PepinNini Lithium Ltd. signed a binding term sheet to fully acquire eight gold projects in South Australia from unlisted public company Patron Resources Ltd.

The company said Dec. 24 that it will issue shares equivalent to a 20% stake to Patron to purchase two wholly owned subsidiaries of Patron, valuing the deal at about A$1.2 million.

Patron unit Endeavour Copper Gold Pty. Ltd. holds 13 tenements and Earea Dam Mining Pty. Ltd. holds one mining lease and one exploration license, totaling 2,498 square kilometers for the exploration tenure and 69.9 hectares for the mining lease.

As part of the deal, PepinNini will look to raise at least A$1 million via a placement.

The funds will be used to explore the new Patron tenements and PepinNini's tenements in Australia, and for working capital purposes.