Update on Sunshine Minerals

RNS Number : 3092V

Gunsynd PLC

02 December 2019

 

Gunsynd plc

("Gunsynd" or the "Company")

Update on Sunshine Minerals

Gunsynd Plc (AIM: GUN, NEX: GUN) notes the announcement of Malachite Resources (ASX: MAR; "Malachite") in that it has entered into a Share Subscription Agreement with Sunshine Minerals Limited ("Sunshine") to acquire up to 15% of it.

The key terms of the acquisition are summarised below:

Malachite pays $75k in two tranches to Sunshine to extend an exclusivity period to 31 March 2020 - these funds will be allocated to due diligence and corporate costs. The first tranche of A$25k is payable upon signing of the subscription agreement. The second tranche of A$50k is conditional on:-Solomon Islands mines department board approval to retain PL01/18 for its full term to 9 July 2021; and-Technical confirmation of geological data carried out by Sumitomo on PL01/18.

Malachite can elect to earn its 15% interest as follows:

a) a 7.5% shareholding in Sunshine by spending A$100k on work principally progressing the Jejevo geological data to 2012 JORC;

b) a further 7.5% shareholding in Sunshine by spending a further A$125k on work principally associated with progressing the Jejevo geological data to JORC and advancing technical work in preparation for a mining lease application.  Malachite will seek regulatory approvals as required.

Gunsynd currently holds 18.2% of the issued share capital of Sunshine; the reduction from the 19.8% notified on 27 September 2019 arose from the conversion of some accrued salaries.  Should Malachite acquire 15% of Sunshine as detailed above, Gunsynd's interest would reduce to 15.5%.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

The directors of Gunsynd accept responsibility for this announcement.

For further information please contact:

Gunsynd plc Hamish Harris	[phone]
Cairn Financial Advisers LLP James Caithie / Liam Murray	[phone]
Peterhouse Corporate Finance Lucy Williams	[phone]

 

END

 

 

UPDUGGMAPUPBUBP