Gunsynd pays first tranche of Metals One farm-in

16th Nov 2023 14:22

(Sharecast News) - Gunsynd announced a significant step in its conditional farm-in agreement with Metals One on Thursday, which was first announced on 21 June 2022.

The AIM-traded company said it had completed the payment of the first tranche, amounting to £0.25m.

It said the agreement involved Gunsynd acquiring a stake in Finnaust Mining Northern - the entity holding the projects.

Upon fulfilling the conditions and completing the fourth tranche, Gunsynd would secure a 25% ownership stake in Finnaust, based on the assumption of no further share issuances by Finnaust.

The initial payment represented a 6.25% interest in the enlarged share capital of Finnaust.

In addition to its progress with the farm-in agreement, Gunsynd said it had sold 1,237,060 shares in Charger Metals, listed on the ASX.

That sale generated proceeds of AUD 0.497m, or £0.257m, for an average sale price of 40.2 Australian cents per share.

Gunsynd retained its position as a shareholder in Charger, holding 1,300,000 shares, representing around 2.1% of Charger's issued share capital.

Reporting by Josh White for Sharecast.com.