EV Resources Limited (ASX: EVR) has announced a binding agreement to sell its 100% owned Khartoum Project in Queensland to Koba Resources Limited (ASX: KOB). EV Resources is focused on the exploration and development of critical minerals. The sale is part of EVR’s strategy to streamline its portfolio and concentrate on advancing its antimony assets.
The terms of the agreement include a total consideration of $700,000 in cash, plus a 1% net smelter return royalty. EVR has already received a non-refundable deposit of $100,000. Completion of the sale is subject to indicative approval from the Minister administering the Mineral Resources Act 1989 (Qld) for the transfer of tenements, which is expected within 60 days.
EV Resources anticipates that the sale will strengthen its cash position and eliminate expenditure on non-core projects. The funds received will be allocated to exploring and developing the company’s antimony assets and advancing US-focused critical minerals strategies, including developing a relationship with the US Department of Defense. The royalty agreement allows EVR to retain upside exposure to the project while removing ongoing holding costs.
Shane Menere, Non-Executive Chairman of EV Resources, authorised the release of the announcement. Further details can be found on the company’s website.
