monarch acquires hill 50 gold

- $65 million acquisition of the Mount Magnet Gold Operations project.
- The asset package comprises a resource inventory of 2.7M ounces of gold, tenements covering approximately 1,100 square kilometres, along with a 2.7mtpa capacity plant.
The resource inventory of 2.7m ounces of gold are comprised as Measured Resource 1.1 million tonnes @ 3.1 g/t Au for 0.1 million ozs, Indicated Resource 16.0 million tonnes @ 3.4 g/t Au for 1.7 million ozs and Inferred Resource 9.0 million tonnes @ 3.0 g/t Au for 0.9 million ozs.
- Mr Kiernan said Monarch intended to put the Hill 50 mine on care-and-maintenance for up to two years, while it focussed on exploration activities across landholdings.
- Terms
Total consideration for the acquisition is A$65 million, including:
• Cash A$30 million
• Monarch shares (issued at 7 day VWAP) A$20Mil
• Convertible note A$15 million
o 3 yr term
o 5% per annum interest
o 30% premium for conversion to issue price
o Secured by the asset