(MENAFN- ProactiveInvestors)
() has reached agreement with Limited to terminate the Metal Purchase Agreement (MPA) over Doray’s wholly-owned Deflector Gold Project in Western Australia.
Doray became the owner of Deflector through the recent acquisition of .
Sandstorm had previously loaned US$6 million to Mutiny who had the option to repay the loan and plus interest or to convert the loan to a MPA.
The MPA included selling 2.6% of gold production from Deflector to Sandstorm at USD$500/oz for the life of mine.
In return for Doray agreeing to repay the loan early Sandstorm has agreed to a reduced payout figure of USD$7 million compared with the current balance of US$7.8 million.
Doray said that (ASX:WBS) has agreed in principle to fund the repayment to Sandstorm by increasing the current project finance facility over Andy Well.
Deflector metrics
- High-grade/low-cost project
- Pre production capexA$$88.2M
- Ann. production 60koz Au
- LOM C1 A$654/oz
- LOM AISC A$787/oz
Proactive Investors Australia is the market leader in producing news articles and research reports on ASX emerging companies with distribution in Australia UK North America and Hong Kong / China.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.