Ann: Chisel Base Metal Drilling Update, page-38

Talisman ponders Sandfire’s $70m bid for Springfield

The board of Talisman Mining was last night locked in discussions over a $70 million offer from Sandfire Resources to buy out its 30 per cent stake in the Springfield joint venture, which includes the Monty copper-gold project.

The proposed deal includes a 1.5 per cent net smelter royalty on any future discovery within the 324sqkm joint venture area.

It is $22 million above Talisman’s $48 million market capitalisation based on its last traded price of 26¢, without including the value of its other projects.

The explorer backed by rich lister Kerry Harmanis entered a trading halt on Friday, citing market speculation on Springfield.

The chatter helped propel Sandfire shares 32¢, or 3.7 per cent, to $9.03 yesterday. Shares in the Karl Simich-led miner continued trading with the deal not considered material to it.

Sandfire is looking to consolidate its landholdings in the Doolgunna region as it continues a relentless search for new ore sources to feed the processing plant at its DeGrussa copper-gold mine, which is expected to be mined out by early 2022.

It is understood the joint venture has soured recently with Mr Harmanis’ 18 per cent stake in Talisman becoming a sticking point in Sandfire’s hopes to seize full control of Springfield.

https://thewest.com.au/business/mer...ndfires-70m-bid-for-springfield-ng-b88856495z