Royal Road Minerals (CVE:RYR) has confirmed the closure of the deal to sell its Turkish subsidiary to Ravello Investment Group (RIG).
It sees Royal Road receive US$250,000 as cash consideration, and RIG agreed to pay 1% net smelter return from the sale of all mineral products produced from the subsidiary’s properties.
The company would also see 5% from any proceeds from any sale of those properties.
It includes the Gömeç project, which spans five contiguous exploration licences in the hinterland of Balıkesir province Western Turkey, has not yielded any significant gold results in the exploration holes drilled by Royal Road in 2015.
Royal Road had spent US$1.2mln on exploration at Gömeç and other connected properties, and it has completed a total of 4,494 meters of drilling through two separate campaigns.
The company is now focussing on assets in Colombia, where it recently acquired the La Golondrina, a Colombian gold mine, which it believes could host a high grade gold resource in excess of one million ounces.
It plans to kick off work at the site, which is already producing on a small scale, by surveying all accessible underground workings, completing channel samples and defining targets for surface drilling as early as possible in 2016.