Chesterfield Resources plc plans to look for an alternative buyer for its Canadian copper project after its potential purchaser withdrew from a conditional acquisition.
SCALE
The company said that Pacton Gold Inc. did not wish to proceed with the deal on the previous terms, which would have seen Chesterfield receive C$1.25m (£804,000) and C$300,000 (£193,000) for work during the transition period.
The Canadian junior stated that the “immense scale” of the project exceeded Pacton’s capacity to take the project to the development level.
INTEREST
Chesterfield added it was hopeful of finding an alternative buyer, aided by the results of “extensive” technical work by Pacton on Adeline and improved commodity and precious metal prices.
“Pacton’s bid for Adeline was accepted following a thorough process which drew interest and indicative offers from a variety of operators who met our criteria, including the ability to efficiently fund and execute a thorough exploration programme at Adeline,” said executive chairman Paul Ensor.
“We are hopeful that this process and the discussions that we had in September last year can be quickly revived to achieve our goals for Adeline.”