Westgold Resources Ltd. intends to divest its lithium assets and royalties in Western Australia and provided an exclusive option to Triton Minerals Ltd. for such a deal.
The company will receive 357 million common shares from Triton at a deemed issue price of 8.5 Australian cents per share for a total of about A$30 million.
The package includes the company's royalty holdings and exploration rights in the Mount Marion lithium project, and its royalty holdings in the Buldania lithium project.
As part of the deal, Westgold will have a right to appoint a nonexecutive director to Triton's board, according to the Dec. 22 release.
Triton is required to exercise the option by Feb. 28, 2018.
Meanwhile, Westgold started repairs to the crushing circuit at its Higginsville gold processing plant in Western Australia after an engineering fault was identified.
The company said in a separate Dec. 22 release that gold output will be "slightly impeded" and the plant will operate at between 70% and 80% of full capacity in the coming weeks.
The front end circuit has been taken offline and the company is mobilizing alternative mobile crushing facilities to site this week.
The plant will start operating at full capacity in late January 2018.