Comet Resources Limited (ASX:CRL) entered into a share sale agreement to acquire Mount Margaret Mining Pty Ltd from Mount Isa Mines Limited on February 3, 2022. The consideration for the acquisition of the MTM Shares is: a non-refundable payment by MMM of AUD 5 million to MIM; and on completion, the issue by Comet of 25 million fully paid ordinary shares in the capital of Comet to MIM at an aggregate deemed issue price for those Shares of AUD 0.20 per Share, equal to an amount of AUD 5 million. Completion of the MTM Acquisition Agreement, including the issue of the consideration to MIM (or its nominee) must occur on the date that is 5 business days after the date of satisfaction (or waiver) of the last of the Conditions Precedent, or such other time and date that the parties agree.

The transaction is expected to complete on July 15, 2022. As of February 18, 2022 Comet Resources Limited paid the non refundable deposit of AUD 5 million from the capital raised to MIM As of September 16, 2022. Company will now raise AUD 27 million to fund acquisition and initial post-acquisition pre- development activities – Equity component of the raise is now reduced due to addition of debt financing.

As of January 5, 2023, the conditions which are presented in share purchase agreement were not fulfilled by December 2, 2022. The date has extened to March 31, 2023, to met the fulfillment of all the conditions precedent in share purchase agreement.