Westgold completes $54.4m Peak Hill divestment to Great Boulder Resources

The news: Westgold Resources has completed the divestment of its Peak Hill Gold Project to Great Boulder Resources.

The context: Westgold has received a total consideration of $54.4 million, consisting of a $25 million cash payment and a 19.9% equity stake in Great Boulder valued at $29.4 million.

The miner added that it retains a 1% net smelter return (NSR) royalty over all future gold production from the Peak Hill asset.

What they said: “Our shareholders also retain exposure to the project’s upside potential through a 1% NSR royalty, whilst Great Boulder gains access to a processing solution through Westgold’s Murchison hubs,” Westgold CEO Wayne Bramwell said.