LCL RESOURCES LIMITED LCL Resources Limited (ASX:LCL) executed a binding Tenement Sales Agreement to acquire exploration licences EL 2391 and EL 2560 from Papuan Minerals Pty Ltd for AUD 0.3 million on August 30, 2023. Issue of 7,239,382 fully paid LCL ordinary shares to Papuan on completion of the transfer of EL 2391 to LCL; Issue of 2,413,127 fully paid LCL ordinary shares to Papuan on completion of the transfer of EL 2560 to LCL; and Grant of a 2% NSR (Royalty) to Papuan on minerals extracted from the Papuan Licences. LCL has the right to purchase, at any time, the Royalty over EL 2391 for a cash payment of AUD 3.75 million; and the Royalty over EL 2560 for a cash payment of AUD 1.25 million.
Completion is conditional on due diligence by LCL on the Papuan Licences, to its reasonable satisfaction, within 30 days of signing and LCL may withdraw from the Agreement if completion of the transfer of either of the Papuan Licences does not occur within six months of execution. The agreement permits LCL to acquire each of EL 2391 and EL 2560, with the acquisition of EL 2560 conditional upon its renewal.
