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Hastings signs binding agreement with Metal Bank to divest gold assets
Yahoo Finance·2025-09-30 11:20

Core Viewpoint - Hastings Technology Metals has entered into a binding agreement with Metal Bank for the divestment of its gold assets, which is contingent upon shareholder approval and other conditions [1][4]. Group 1: Agreement Details - Metal Bank will issue 160.02 million ordinary shares to Hastings, valued at A$2.3 million at the time of signing the term sheet, upon completion of the deal [1]. - Hastings will transfer its gold assets and A$300,000 in cash from its subsidiary Great Western Gold to Metal Bank upon deal completion [2]. - The acquisition includes Great Western Gold, which holds a 75% interest in the Whiteheads Gold Project tenements, and other tenements covering approximately 380 km² near Kalgoorlie [2][3]. Group 2: Additional Assets and Approvals - The acquisition also encompasses Ark Gold, which owns two exploration licenses around 40 km southeast of Hastings' Yangibana Project, and Darcy's gold tenements, comprising three exploration licenses covering around 100 km² adjacent to the Brockman Niobium and Heavy Rare Earths Project [3]. - Both Hastings and Metal Bank require shareholder approval for the issuance and distribution of shares, with Metal Bank seeking approval at its upcoming annual general meeting (AGM) [4]. - Hastings plans to seek approval for the "in-specie" distribution of shares at its AGM scheduled for mid-November 2025 [4]. Group 3: Strategic Implications - The executive chairman of Hastings stated that the agreement reflects a shared vision and cooperation between the two companies to create a gold-focused entity that benefits their shareholders [5]. - This divestment is seen as a transformational step for Hastings, allowing it to concentrate on developing its rare earth and niobium assets at Yangibana and Brockman [6]. - Hastings is also advancing its Whiteheads Project, with drilling initiated for an initial resource at the Seven Leaders prospect [6].