Latitude 66 (ASX:LAT) has announced a non-binding agreement to sell its 17.5% joint venture interest in the Greater Duchess Copper Gold Joint Venture, located in Queensland, to Argonaut Partners and Neon Space. The purchase price is $2 million. Latitude 66 is focused on the discovery and development of gold and base metals. The company aims to create value for shareholders through exploration and strategic partnerships.
Under the terms of the agreement, Argonaut will provide a $750,000 loan to Latitude 66. There is also a potential contingent payment of $4 million payable in cash or shares if the purchaser divests the acquired interest to a third party within 90 days, unless the third party acquires the entire joint venture. Latitude 66 has formally notified its joint venture partner, Carnaby Resources (ASX:CNB), of the proposed sale, offering them the right of first refusal.
Carnaby Resources has 30 days to accept the offer. Should Carnaby exercise its right, Argonaut and Neon Space will be entitled to 7.5 million unlisted options in Latitude 66, exercisable at $0.075 with an expiry date of 30 June 2028. Latitude 66’s Managing Director, Grant Coyle, stated that the transaction aligns with the company’s strategy to unlock value from its Australian assets.
Coyle noted the funding from Argonaut would enable the company to advance its projects in Finland and Western Australia. The Greater Duchess Project, situated 70km southeast of Mount Isa, spans 1,921 square kilometres and contains copper and gold targets.
