By: Mining.com.au

Castle Minerals (ASX:CDT) has executed a binding term sheet to acquire UK-incorporated Mineralis from Mineral Holdings, including the right to acquire 90% of seven permits in Côte d’Ivoire, West Africa. 

Castle will issue 5.25 million shares and 9 million unlisted options, exercisable at $0.12 expiring on 31 May 2028 as part of the agreed deal.

Additionally, the company will issue 15 million performance rights upon achieving certain milestones.

Castle will pay Mineralis $375,000 upon achieving the first milestone and a further $625,000 after completing the second milestone. 

Castle, which has a market capitalisation of $7.42 million, will also complete a placement to raise $3.3 million at $0.06 per share. The funds will be used to conduct an initial phase of exploration across the Côte d’Ivoire projects, as well as activities in Ghana. 

Euroz Hartleys will act as lead manager to the placement. 

The company intends to conduct ground mapping, sampling, geophysical, and geochemical studies to generate drill targets for the Côte d’Ivoire projects. 

Auger drilling and a follow-up drill program will also be carried out at the Kpali and Kandia projects in Ghana. 

Executive Chairman Stephen Stone says the proposed acquisition provides the company with an immediate quality foothold into Côte d’Ivoire. 

“New projects in a new country and a new leadership team supported by an additional $3.3 million from today’s placement bodes extremely well for Castle’s shareholders who can look forward to an intensive level of on-the-ground exploration and accompanying newsflow continuing through 2025 and well into 2026,” Stone says. 

Castle Minerals is a West African gold explorer focused on gold discoveries in Côte d’Ivoire and Ghana.