Perilya Limited (ASX:PEM) To Acquire GlobeStar Mining Corporation (TSE:GMI) For Low Cost Copper, Gold And Silver Assets
GlobeStar is a mining and exploration company headquartered in Toronto. It operates the low cost Cerro de Maimón copper gold-silver project and an extensive portfolio of exploration tenements covering base metals and nickel in the Dominican Republic. It also has 60% ownership of the Moblan lithium development project in Quebec, Canada.
The acquisition will give Perilya immediate access to a low cost operating project producing copper, gold and silver with a seven year mine life and potential to increase both mine life and production rate. Perilya will operate two significant producing mines which are both cashflow positive and profitable and have operating assets in the Latin America region.
The transaction is unanimously recommended by GlobeStar's Board of Directors. Perilya's major shareholder, China's third largest zinc producer Shenzhen Zhongjin Lingnan Nonfemet Co. Ltd (SHE:000060), which owns 52% of Perilya, fully supports the transaction.
Perilya's current operations include the iconic Zinc, Lead and Silver mine in Broken Hill, New South Wales, the Flinders High Grade Zinc Project in South Australia and the Mount Oxide Copper Project in Queensland.
Shenzhen Zhongjin Lingnan Nonfemet Com.
Globestar Mining Corporation