Arafura Resources (ASX: ARU) continues a main focus on rare earths with the non-core asset sale of the Mt Porter Gold project to Global Mineral Resources.
Consideration for the deal includes A$1.5 million in cash, and 7.5 million Global shares, along with 7.5 million options exercisable at $0.25.
Global is expected to list on the ASX in mid-2011.
Mt Porter has a 34,200 gold ounce JORC Indicated and Inferred resource, with gold exploration and development rights over several adjacent licences in the Frances Creek region, which is in the Northern Territory.
Steve Ward, Arafura managing director & CEO, said, “We are very pleased with this outcome.
"It enables Arafura to realize value from one of our non-core assets in the near term as we focus on rare earths and our world class Nolans Project."