Forrestania Resources has reported a series of high-grade gold intercepts from a recently completed drill program at its British Hill project in Western Australia.
The results include a standout intersection of 1 meter at 22.98 grams per tonne (g/t) gold, signaling significant mineralization potential at the site.
The deal structure involves a cash payment of around AUD 200 million, with the remainder in shares.
The discovery comes as the ASX-listed explorer seeks to establish a new gold production business.
The company is currently in the process of acquiring the Edna May gold mine from Ramelius Resources in a transaction valued at approximately AUD 300 million.
The deal structure involves a cash payment of around AUD 200 million, with the remainder in shares.
The British Hill results provide additional resource upside beyond the Edna May acquisition, which has faced some resistance from a shareholder at the target company.