Bellavista signs agreement to acquire stake in Pickle Crow Project, Canada

Bellavista Resources has signed a binding stock merchantability and acquisition statement to get a 70% involvement successful the Pickle Crow Gold Project from FireFly Metals, on with further exploration assets successful Ontario, Canada.

The acquisition, which includes an enactment to summation Bellavista's involvement to 80%, is contingent upon shareholder approvals.

The Pickle Crow tract has an inferred mineral assets of 2.8 cardinal ounces (moz) astatine 7.2 grams per tonne (g/t) gold, arsenic reported nether the JORC Code 2012.

Under the agreement, Bellavista volition instrumentality afloat ownership of Auteco Minerals (Canada), a wholly owned subsidiary of FireFly Metals, done the transportation of 60 cardinal mean shares successful Bellavista and show rights valued astatine A$37.5m ($26.05m).

Additionally, Bellavista plans to unafraid afloat ownership of neighbouring tenements and the Sioux Lookout Project.

To realise its imaginable 80% involvement successful Pickle Crow, the institution volition request to wage C$3m ($2.19m) to First Mining Gold.

Bellavista intends to concern this acquisition done a superior raising effort, seeking astir A$25m via a two-tranche stock placement astatine A$0.75 per share.

The archetypal tranche aims to make astir A$19m from 25.45 cardinal shares, portion the 2nd tranche volition beryllium taxable to further shareholder approvals to rise up to A$6m from an other 7.88 cardinal shares.

The proceeds from this superior raising are earmarked for executing the PC Gold Earn-In and conducting extended exploration activities astatine Pickle Crow and Sioux Lookout, arsenic good arsenic advancing exploration astatine Bellavista’s Brumby task successful Western Australia.

Additional funds volition screen acquisition and placement costs on with wide firm expenses.

Canaccord Genuity (Australia) is serving arsenic the pb manager and bookrunner for this placement, with Euroz Hartleys and Argonaut Securities acting arsenic co-managers.

FireFly Metals, past called AuTECO Minerals, antecedently acquired Green Bay copper-gold assets, shifting its absorption from Pickle Crow successful 2023 erstwhile golden prices were astir $2,000/oz.

However, Bellavista sees important exploration opportunities successful some the Uchi and Wabigoon belts and plans assertive exploration targeting shallow mineralisation post-acquisition.

Bellavista managing manager Glenn Jardine said: “This acquisition volition alteration Bellavista into a important exploration institution underpinned by a 2.8moz high-grade golden inferred mineral assets and leveraged vulnerability to outstanding golden prospective tenure.

“Exploration activities person been constricted astatine Pickle Crow and the exploration prospects since 2023, during which clip the golden terms has much than doubled.”