Hammer Metals has completed the sale of its 75 per cent interest in the Millennium cobalt project to joint venture partner Global Energy Metals Corporation.
The Millenium deal saw Hammer receive enough Global shares to hold a 19.9 per cent interest in the company following the sale and were valued at almost $1.365 million.
Under the terms of the sale agreement, Global will also purchase the cobalt targets at Mt Dorothy and Cobalt Ridge.
The two companies will work together to identify and acquire additional cobalt assets in the Mount Isa region.
“Hammer looks forward to working with GEMC on this regional cobalt venture across the Mount Isa region of North-West Queensland,” Hammer chairman Russell Davis said.
“We are very pleased to have the opportunity to have a significant interest in a focused cobalt explorer and developer, while retaining exposure to longer-term value creation that the Millennium deposit and the other Mount Isa cobalt projects will offer.
“The sale to a focused cobalt company in GEMC will allow Hammer to concentrate on its other advanced copper-gold exploration programs within its 2000sq km tenement package in the Mount Isa mining district as well as the recently acquired Bronzewing South Gold Project where we are commencing field work.”