Arrow Minerals Ltd (ASX:AMD) has now received a further cash payment of $300,000 in respect of the sale of the 100% interest in the Strickland Gold Project in WA to Dreadnought Resources Ltd (ASX:DRE).
Arrow continues to retain upside exposure to the success of the Strickland Copper Gold project through the terms of the sale and purchase agreement, which provides for a $1,000,000 cash payment upon the identification and reporting of JORC-compliant inferred mineral resource of greater than 500,000 ounces of gold equivalent.
Royalty retained
Arrow also retains a total 1% net smelter return royalty in relation to minerals mined by or on behalf of Dreadnought on the Strickland Copper Gold Project.
The company will turn its full attention to advancing the Simandou North Iron Project towards drilling in early 2023.
Managing director Hugh Bresser said: “At the Arrow AGM on Wednesday shareholders overwhelmingly supported the Simandou North Iron Project transaction.
“The finalisation of the sale of Strickland to Dreadnought provides Arrow with a significant and timely cash infusion to advance the North Simandou Iron project rapidly towards drilling early in 2023."
The strategy
Arrow’s strategic focus is to deliver long-term value to shareholders through the discovery and development of economic mineral deposits in West Africa, while enhancing the lives of the communities in which it operates.
The company endeavours to do this through the application of systematic science-based exploration, sharing knowledge and remaining nimble and responsive to new commercial opportunities.