A company developing a raft of Chillagoe region base and precious metal projects is set for a back-door listing on the ASX early this year.
Tartana Resources is looking to revive copper sulphate production at the Tartana plant previously run by Solomon Mines and is investigating other resources in the region to underpin a long-term business.
Suspended company R3D Global is expected to provide a listing vehicle for Tartana shareholders by way of a reverse takeover, a capital raising in early 2021, and an application for re-listing with the ASX.
The two companies have signed an implementation deed which outlines the terms of the takeover of Tartana and are working towards a tight calendar for a re-listing in March 2021.
Tartana Resources last year acquired Mother Lode – which holds the Bellevue/Dry River project north of Chillagoe and the Dimbulah porphyry copper project east of Dimbulah.
It also acquired an option over the Nightflower Silver project north-east of Chillagoe and identified a gold zone at or close to surface at its own Valentino project.
And late last year Riverside Energy, a wholly owned subsidiary of Tartana Resources, applied for two new mining leases and one exploration permit covering the Cardross copper project and the Mountain Maid gold project.
These projects lie about 35km west of the Tartana mining leases and the company believes they have potential to create synergies with the restart of the copper sulphate plant as well as scope for the establishment of a new gold heap leach operation at the Mountain Maid project location and the medium-term option of developing a processing plant with flotation capacity to treat copper sulphide ores from both Cardross and Tartana mine sites.
Tartana Resources withdrew its own IPO mid-year as COVID hit investor confidence.
Uncertainty stemming from the sales process of the neighbouring Mungana assets owned by Denham Capital through its subsidiary Auctus Resources, which was placed in voluntary administration, was also cited as a factor.
The company said that while this may present an opportunity to Tartana, the extended delays and uncertainty of the process had not been helpful for its own ASX listing.