First Au (ASX:FAU) completes sale of Mabel Creek Project - Kalkine Media

Highlights

• First Au has completed the agreement with Talisman Mining Limited for the sale of its Mabel Creek Project.
• The South Australian Department of Energy and Mining has confirmed the transfer of Exploration Licenses EL6619, EL6620 and EL6627 to Talisman Mining.
• TLM made a payment of the remaining AU$100,000 cash consideration and issued 580,852 fully paid ordinary TLM shares equity consideration, as per the sale agreement.

In the latest update, ASX-listed gold and base metals exploration firm, First Au Limited (ASX: FAU) announced the completion of sale of its Mabel Creek Project to Talisman Mining Limited (ASX:TLM).  

This comes after the South Australian Department of Energy and Mining confirmed the transfer of Exploration Licenses EL6627, EL6620 and EL6619 to Talisman Mining.

Details of the agreement

First Au and Talisman Mining had inked a binding Sale and Purchase Agreement in January

2023, wherein Talisman acquired 100% of FAU’s Mabel Creek IOCG Project in South Australia for an amount of AU$200,000 in cash consideration and AU$100,000 in TLM shares. FAU had got an amount of AU$100,000 on signing of the agreement.

Following the conditions of the sale agreement, Talisman Mining has now made a payment of the remaining AU$100,000 cash consideration and issued 580,852 fully paid ordinary TLM shares equity consideration for the project acquisition.

An overview of Mabel Creek Project

The Mabel Creek Project, encompassing Exploration Licences EL6619, EL6620 and EL6627, spans across an adjoining area of 1,048km² in the Gawler Craton of South Australia. It is based 130km to the NW of the Prominent Hill Mine managed by BHP Group (ASX:BHP) and 40km west of Coober Pedy.

The area of the project includes prospective lithologies and many major structures which may be linked with Gawler Craton-style gold mineralisation and Olympic Dam-style IOCG mineralisation.

Stock price information
FAU stock has seen a jump of over 33.33% on the Australian Securities Exchange (ASX) in the past five days. The company shares were trading at AU$0.004 midday on 13 June 2023. First Au has a market cap of AU$5.80 million.