Thor Energy announced an agreement for EnviroCopper to acquire exploration licence 5984 on the Yorke Peninsula, South Australia, from Andromeda Metals (ASX:ADN).
The deal will involve the consolidation of the Alford West joint venture and other in-situ recovery targets, with 100% of ownership transferring to EnviroCopper.
In return, Andromeda is to receive 5% of the current EnviroCopper capitalisation in shares, $50,000 in cash, and deferred consideration as a 10% share of any successful mining operations' royalty tenement operating cashflow on the Alford West Project area and Moonta Project area, not exceeding $15 million each.
The deal will dilute Thor's equity in EnviroCopper to 28.6%.