Riedel Resources completes gold deal giving 32% stake

Full story: https://grafa.com/en/news/australia/riedel-resources-completes-gold-deal-giving-32-stake

• Riedel Resources finalised its acquisition of majority interests in the Cosmo and Mt Venn gold projects in Western Australia.

• The vendor, Sarama Resources, will hold an initial equity interest of approximately 32% in the explorer.

• The company plans to initiate reconnaissance drilling at the Cosmo Project following receipt of Aboriginal cultural heritage clearance.

Riedel Resources (ASX:RIE) has completed the acquisition of majority interests in the Cosmo and Mt Venn gold projects in Western Australia, issuing an initial 32% equity interest to Sarama Resources (ASX:SRR).

The two Western Australian projects cover prospective greenstone terranes located near major producing gold mines, including the 9.1-million-ounce Gruyere deposit.

"We are pleased to have completed the transaction to acquire majority interest and control of the belt-scale Cosmo and Mt Venn gold projects, which occupy a commanding position over two of the last remaining greenstone belts in Western Australia that are yet to be systematically explored," said Riedel Resources Non-Executive Chairman Scott Cuomo.

The company stated that preparations for reconnaissance drilling at the Cosmo Project are underway after obtaining Aboriginal cultural heritage clearance.

Following the announcement, the Riedel Resources share price was unchanged at $0.02.

Prior to expanding into Western Australia, the explorer focused primarily on advancing its high-grade Kingman gold-silver project located in Arizona, United States.

The transaction follows a concurrent $2.5 million equity placement completed by the explorer to fund exploration activities across its Australian and American assets.