Rox Resources Ltd. said Aug. 8 that its Helios Gold Ltd. subsidiary secured an option to acquire the Bronzewing South gold project from Carnegie Exploration Pty Ltd.

Under the deal, Helios Gold will pay a nonrefundable cash deposit of A$20,000 upon signing, with an additional A$80,000 in cash and 2 million Helios Gold shares payable upon the completion of its IPO and listing on the ASX.

In addition, additional payments are due to Carnegie Exploration upon meeting certain milestones. This includes A$725,000 in cash or shares payable upon the outlining of an inferred resource of greater than 250,000 ounces of gold and about A$1.3 million payable upon that of an indicated resource of greater than 500,000 ounces of gold.

In May, Rox Resources announced plans to spin out its Mount Fisher gold project in Western Australia into newly formed unit Helios Gold.

Helios Gold will explore the Bronzewing South tenements, as well as the Mount Fisher tenure, following its IPO and subsequent listing on the ASX.