Emmerson Resources Ltd (ASX:ERM) has an announcement pending in relation to a material transformation to its emerging gold royalty and exploration business at Tennant Creek in the Northern Territory along with an associated capital raising.
As such, the company has been granted back-to-back trading halts by the ASX.
This halt will remain in place until the beginning of regular trade on Monday, November 16, or when an announcement is released to the market, whichever occurs earliest.
Path to deliver gold pipeline
Emmerson has recently terminated an exploration earn-in and joint venture (EEJV) agreement with TRL Tennant Creek Pty Ltd over the Southern Project Area (SPA) at Tennant Creek Project in the Northern Territory.
The company has taken this action to clear a path to deliver on its royalty business model and accelerate exploration to continue to build a high-grade gold pipeline.
Managing director Rob Bills told Proactive: “This has broken the deadlock that has been going on for a while – the joint venture is between Emmerson and Territory Resources (TRL).
“TRL had to spend $5 million over five years to earn 75% - they haven’t been able to do that and our shareholders are very aware that things haven’t happened as per the schedule so we decided to draw a line under it.”