Key points
- FirstAu enters into an Ore Purchase Agreement with Forrestania Resources.
- Agreement provides access to established processing infrastructure.
- Potential processing locations include Lake Johnston and Edna May operations.
Full summary
First Au Ltd has entered into an Ore Purchase Agreement with Forrestania Resources Limited, establishing a potential processing and monetisation pathway for the Gimlet Project. The Agreement provides FirstAu with an alternative to developing standalone processing infrastructure, potentially reducing capital requirements and development time. Under the Agreement, suitable ore from FirstAu's Gimlet Project may be purchased by Forrestania for processing, subject to the agreed commercial and technical requirements. The Agreement has an initial term of 24 months and provides access to established Western Australian gold processing infrastructure at Forrestania's Lake Johnston and Edna May operations.
Outlook
The agreement provides FirstAu with increased flexibility in evaluating development options for suitable mineralisation from the Gimlet Project.