Landore Resources Ltd (AIM:LND, OTC:LNDLF) said it has now received a total of C$3mln in cash from the sale of its 3% net smelter royalty on the Root Lake property to Green Technology Metals Ltd (ASX:GT1).
The transaction forms part of a broader consolidation of interests in Root Lake undertaken by Green Technology.
Landore said the cash proceeds will be used to fund additional exploration activities at Felix, Lamaune and BAM at the Junior Lake property and the company's ongoing working capital requirements.
"The proceeds from the sale of the Root Lake NSR have provided the company with significant funding, without diluting our shareholders, at a time of difficult market conditions for junior exploration companies,” said Landore’s chief executive Bill Humphries in a statement.
"In addition, further funds of C$250,000, plus shares to the value of C$750,000, are expected to be received from Lithoquest on 6 January 2023, subject to the terms of the option agreement entered into in respect of Landore's Miminiska Lake and Kheezik Lake properties, further details of which are set out in the announcement released by the company on 10 May 2021. Landore is well funded into the New Year," he added.