WIN Metals has entered into a binding term sheet with Auric Mining (ASX:AWJ) for the partial sale of nickel and lithium rights.
The agreement will yield a minimum of $1.2 million over the next 12 months and includes the divestment of rights down to 150m below the surface on the M15/87 tenement.
WIN Metals has received a $100,000 deposit, with additional payments scheduled, including $600,000 at settlement, $300,000 by Dec.1, and $200,000 by June 1, 2025.
Ongoing access fees for water usage have also been agreed upon.
The transaction aligns with WIN's strategy to realise short-term value and concentrate on its core Mt Edwards Project.
"Our Munda nickel resource doesn't feature in the short to medium term horizon for development," said WIN Metals Managing Director and CEO, Steve Norregaard.
"This deal achieves key objectives for both parties in realising value for WIN in the short term and divesting ourselves of some lower value or non-key tenements whilst providing Auric a clear runway for the proposed development of its Munda Gold Project," Norregaard added.
Auric Mining will gain exclusive access to in-pit water for three years.
"We now have greater control over our destiny for open pit gold mining at the Munda Gold Project. Buying the nickel and lithium rights from WIN Metals down to the 235m RL and having sole rights to an agreed area means we have taken another major step forward," commented Auric Mining Managing Director, Mark English.
The agreement allows both companies to focus on the companies' respective projects while minimising interference.
Auric plans to commence a trial pit at Munda in the first quarter of 2025.