Coral Gold Resources has completed the sale of Robertson Property in Lander County, Nevada, US, to Barrick Gold’s subsidiary, Barrick Cortez.
Under the agreement signed in June last year, Barrick will pay $15.75m in cash to Coral Gold and return 4,150,000 Coral common shares held by it. In addition, a royalty of 1% to 2.25% sliding net smelter return (NSR) on the Robertson property will be paid.
Coral Gold Resources president and CEO David Wolfin said: "The sale of Robertson to Barrick, and the potential for long-term royalty income down the road, represents a major turning point for Coral and its shareholders.
"Coral is evolving quickly with a fresh business model and strategy, looking to capitalise on our experience, knowledge and relationships in Nevada, particularly on the Cortez gold trend."
Located in eastern Lander County, 60 miles south-west of Elko, the Robertson property contains 415 claims and nine patented claims spread over 8,480 acres.
The advanced-stage exploration property is located adjacent to Barrick’s Cortez/Pipeline Gold Mine. It has inferred mineral resources of 2.7 million ounces within at least six mineralised gold zones.
Other properties within Robertson include the Core, Gold Ridge, Excluded and the RUF mining claims.
The sale proceeds will allow Coral to advance its other projects on the Cortez Trend.
Under the agreement, in the event that the Robertson Property is not placed into production by 31 December 2024, then Barrick will make advance royalty payments of $0.5m to Coral Gold beginning on 1 January 2025.