Ann: Acquisition of Gekogold Pty Ltd, page-5

Damn this makes my little brain hurt.
Read it too many times.

OK.
Have I got this right? Please help.

1) BNR is buying Geko.
2) Geko owns a gold tenement
3) Geko signed a deal with GEM for GEM to essentially take over the tenement, mine and process the gold and pay Geko a royalty.
4) Geko to earn 10% and then later 4% royalties from GEM when gold is processed.

For some reason, even though this Geko-GMR deal was agreed in December 2014, mining never started.

5) BNR is buying Geko for some amount of money which I don't understand.
Is it a maximum of $3.5 million or $4.5 million?
I think $3.5 million.
6) BNR now has an agreement with GEM?

What?
The agreement for BNR to buy Geko or the agreement for GEM to start processing?

So BNR will receive royalties from GEM and BNR will then pay (less) royalties to Geko?

OK.

Can anyone explain where I've gone wrong?