Gold and precious metals exploration company, Daulton Capital has signed a contract to purchase Grimsby Investments and its subsidiaries that comprise two Australian firms focusing on the ARX Springs Gold project. This project is situated in the Wide Bay Burnett Region of Queensland, Australia.
As per the contract, Daulton Capital will purchase Grimsby Investments, the two Australian subsidiaries and ARX Springs Pte, a Singapore company, in return for $4,298 billion that will include $75 million in non-convertible preferred share series, 4.148 billion in restricted common stock, and $75 million in a non-convertible promissory note.
The ARX Springs Gold property contains gold resources, which are projected to be between 16,000,000 to 18,000,000 M oz of gold and could yield $22 B during the course of the 20 year life of the mine. Since 1867, Queensland is known as an abundant gold producing state. A number of gold producing firms like Barrick Gold, BHP, Rio Tinto, Anglo American and Glencore Xstrata have been active in this state. The ARX Springs gold project is situated in a region, which has witnessed historical gold discoveries in the adjacent St Johns Creek gold fields.
Daulton Capital’s spokesperson informed that the company is seeking to get additional funds for the ARX Springs Gold project so that the project can be initiated for gold production, which in turn will help increase shareholder value. The company is liaising with fund managers and hopes to raise the required funds shortly.
Additionally, Daulton Capital declared that it has decided not to acquire and explore certain properties situated in Papua New Guinea.
Source: http://www.daultoncapital.com