NewPeak Metals (ASX: NPM) is on target to complete an initial $1.67 million deal for the sale of its Finnish gold assets.
The company has finalised and executed the formal documentation to progress the disposal of its interests in Finnish subsidiary companies NewPeak Finland Oy and Kultatie Holding, which hold NewPeak’s portfolio of gold permits in the country.
NewPeak announced the execution of a binding term sheet for the sale of the assets in mid-February 2024.
Rejuvenation plans
The company has described the sale of the Finnish assets and the offload of its remaining interest in two New Zealand mineral permits as part of “a strategic rejuvenation plan” as it looks to move further into battery metals.
The company said the deal will provide immediate funds, as well as the receipt of staged cash payments and tradeable shares.
Under the considerations for the sale, NewPeak will receive a total of approximately $560,000 in cash, $1.1 million in shares and a milestone payment of $1.m in cash or shares upon the reporting of a JORC-indicated 500,000-ounce gold resource.
NewPeak has already received $150,000 as an exclusivity fee.
The purchaser, 1459988 BC, is a Canadian unlisted private company run by corporate resource entrepreneur Emma Fairhurst.
New Zealand sale
On February 16, just days before initially reporting the Finnish agreement, NewPeak announced it had entered into contractual agreements to sell its remaining 25% interest in its New Zealand gold mineral permits at Garibaldi and Raggedy Range.
As consideration for the sale, NewPeak would receive around $140,000 in three share issue tranches.
That followed NewPeak’s early February unveiling of a strategic rejuvenation plan that included an investigation into acquiring battery and critical metal projects in the Americas and Australia.
It also reported it was in discussions with several interested parties on potential investment into its tungsten and strategic mineral permits in Sweden.
The Swedish projects comprise the Bergslagen mining region, one of the oldest and most important in Scandinavia.
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