It is not as cheap as it sounds. I believe there is a 4% royalty to be paid on production so CDT will get a lot more for it than the $500k cash it sold it for in 2015 - see
This tenement used to be CDT's flagship asset about which they claimed they would monetise to fund exploration (I owned both CDT and AZM 4-5 years ago).
The sale price to AZM implies Bunda is making a loss on the sale unless the 7m AZM shares it is getting more than doubles in price.
It is a good deal for AZM (except for the royalty payment). Perhaps it will help get AZM's project over the line for funding, but I have no idea if that is going to be the case. They probably need a higher gold price and then they will have a smallish plant to generate revenue for further exploration of their tenements and perhaps takeover CDT (which they already part own - long story there).
loki
AZM Price at posting:
4.4¢ Sentiment: None Disclosure: Not Held
