Ora Banda Mining Ltd (ASX:OBM) is set to receive the benefits from the sale of Mt Ida Gold Pty Ltd to TNT Mines Ltd (ASX:TIN) with the sale process now unconditional and expected to be settled by the end of this month.
TNT Mines has now satisfied all conditions precedent for the A$11 million deal that was announced on September 13, 2021.
All necessary steps of due diligence, fund raising and the receipt of necessary approvals have been completed by TNT with settlement of the sale remaining on track for September.
Ora Banda is an up-and-coming gold producer in Australia, having recently improved its operations at Davyhurst Gold Project in Western Australia by enhancing drilling, blasting mining and processing activities. Annual gold production remains within guidance of 80,866 ounces.
Promising exploration results
The company last month received high-grade gold assay results from a diamond drilling program at the Riverina Underground project in Western Australia’s Goldfields region.
Highlight results included:
- 5 metres at 16.7 g/t gold from 200 metres;
- 2.8 metres at 21.2 g/t from 253.7 metres;
- 6.8 metres at 8.6 g/t from 143.8 metres; and
- 1.3 metres at 25.3 g/t from 217.8 metres.
Read: Ora Banda Mining hits high-grade gold at Riverina Underground ahead of resource update
With exploration and expansion continuing within the main lodes, the sale of non-core Mt Ida Gold will serve to boost Ora Banda’s liquidity as it seeks to expand gold production at Davyhurst.