Capricorn Metals divests gold project for $26M
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- Capricorn Metals agreed to divest its Big Springs Gold Project to Sentinel Metals for up to $26 million.
- The transaction provides immediate cash and equity while maintaining upside through $12.5 million in contingent milestone payments.
- Capricorn plans to support the deal by reinvesting $3 million into Sentinel's upcoming capital raising.
Capricorn Metals (ASX:CMM) agreed to divest the Big Springs Gold Project to Sentinel Metals (ASX:SNM) for up to $26 million.
The asset formed part of the Warriedar Resources assets that the company acquired in 2025.
The total consideration comprises $5.0 million in Sentinel shares and $12.5 million in contingent milestone payments.
Completion of the transaction is subject to Sentinel raising at least $15 million in new funds.
Following the announcement, the Capricorn Metals share price was down at $12.48.
The company stated that it proposes to participate in Sentinel's capital raising by contributing $3 million.
Longreach Capital served as financial adviser, and Corrs Chambers Westgarth acted as legal adviser for the transaction.
