Resources & Energy Group signs zero capital gold mining deal
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- Resources & Energy Group signed an agreement with Rembrandt Mining for gold production at the Maranoa Gold Deposit.
- Rembrandt Mining will fund 100% of development costs, removing financial risk for the company.
- The agreement allows management to focus resources on accelerating growth at its other gold prospects.
Resources & Energy Group (ASX:REZ) signed a gold mining agreement with Rembrandt Mining.
The agreement features a sliding scale profit share starting at 50/50 for a $3,000 per ounce gold price.
Rembrandt Mining will fund 100% of the development costs, leaving REZ with zero initial capital commitment.
The company retains 100% tenement ownership, while Rembrandt operates as a contract operator under the agreement.
The company stated that this structure preserves its capital for exploration growth at its other gold projects.
Following the announcement, the Resources & Energy Group share price was down at $0.016.
The business previously completed a reverse circulation drilling programme at its nearby Goodenough gold deposit to expand resources.
