Havilah Resources Ltd (ASX:HAV) has progressed an agreement with OZ Minerals Ltd and OZ Exploration Pty Ltd by executing definition transaction documents for the grant of an option to acquire the Kalkaroo Copper-Gold Project and to explore for copper in Havilah's prospective tenement holding in the Curnamona Province of northeast South Australia.
The company entered into a conditional binding terms sheet on May 17, 2022, a move that was met with great enthusiasm by shareholders, which raised HAV’s share price some 165% intraday to a high of more than five years.
Execution of the transaction documents satisfies one of the conditions precedent necessary for the proposed transaction as per the terms sheet.
Alliance provides funding and expertise
“Funding provided under the strategic alliance would allow us to accelerate exploration for new copper deposits in the region that could potentially be additive to Kalkaroo, as well as advancing our other promising mineral projects south of the Barrier Highway,” Havilah Resources technical director Dr Chris Giles said in an earlier release on the deal.
“We see the proposed transaction as the first important step in our strategy of realising the value of Havilah’s multi-commodity minerals portfolio by either production, sale or farm-out with suitable well-funded partners, as stated in the letter from the Board of Directors in the 2021 Annual Report.”
Read: Havilah Resources soars on new OZ Minerals alliance including Kalkaroo Copper-Gold Project option
Havilah has now moved to hold a general meeting of shareholders to approve the proposed transaction on Wednesday, August 31, 2022.
The notice of meeting documents, including a full copy of the independent expert’s report prepared by BDO Corporate Finance (SA) Pty Ltd and a summary of the material terms of the transaction documents, will be provided to Havilah shareholders later this week.