Sunshine Metals divests Hodgkinson Project to EQ Resources
Sunshine Metals (ASX:SHN) has finalised a binding sale and purchase agreement to divest its non-core Hodgkinson Project in Queensland to EQ Resources (ASX:EQR) for $250,000 in total cash consideration.
The transaction details outline an initial $100,000 cash payment upon execution, with the remaining $150,000 payable upon completion, which is expected on or before August 2026.
Once finalised, EQ Resources will secure a 100% interest in the six Hodgkinson Project tenements (EPM 19809, EPM 25139, EPM 18171, EPM 27539, EPM 27574, and EPM 27575).
The finalisation remains subject to regulatory approvals for tenure transfer, the assignment of third-party royalties, and third-party consent for associated agreements.
Sunshine Managing Director, Dr Damien Keys described the divestment as a "win-win for both businesses", noting it allows Sunshine to focus on its Ravenswood Consolidated assets while EQ Resources progresses Hodgkinson.
The capital injection further boosts Sunshine's cash position following a recent $19 million share placement and a $7.6 million share purchase plan.
By offloading this asset, Sunshine intends to strategically reallocate its funds and efforts closer to its Townsville head office.
Resources will be channelled into the refurbishment, engineering design, and final permitting of the Mt Moss Gold Plant, alongside progressing mining studies at Liontown to target gold production by mid-2027.
The company plans to advance high-priority exploration works at the highly prospective Sybil epothermal gold targets.
