Dart Mining divests non-core Victorian projects to Infinity Lithium for $3.4m

• Dart Mining enters option agreements allowing Infinity Lithium to acquire a 100% interest in Mitta Mitta
• It also sees Infinity potentially entering into a joint venture on the Corryong project
• The total consideration if all performance milestones are achieved is $3.4m in cash and shares

Special Report: A busy month of corporate development has seen Dart Mining bolt out of a trading halt with an options agreement that allows Infinity Lithium to acquire 100% of its Mitta Mitta tenement package in Victoria for up to $3.4m.

It also allows for Infinity Lithium (ASX:INF) to enter into an earn-in joint venture on the Corryong gold-copper-silver-molybdenum exploration project.

Both are within the highly prospective Lachlan Fold Belt (LFB) in eastern Victoria, a significant geological region known for its long history of mineral production, complex geology and potential for new discoveries.

The LFB is home to more than 105Moz of gold and millions of tonnes of copper with mines like Cadia, Northparkes and others in the Cobar region scattered throughout the area.

Dart Mining (ASX:DTM) is looking to focus more on antimony and gold in Queensland and is pleased to make this opportunity available to INF, opening the door for the possible acquisition of both projects with payment structured through upfront and deferred consideration.

The option agreements are binding, giving INF a 60-day exclusivity period in which it can enter into a 100% purchase agreement in respect to Mitta Mitta and a joint venture to earn up to an 80% stake in Corryong.

‘A win for both parties’

DTM executive chairman James Chirnside said the board was delighted to enter into the option agreements with Infinity Lithium.

“The terms of the arrangements allow Dart to continue with its focus on progressing its other projects in Queensland and Victoria,” he said.

“The arrangements allow for Infinity Lithium to rapidly expand its footprint in Victoria – it really is a win for both parties.”

For INF, the agreement with Dart follows the acquisition of four advanced gold assets in Victoria from Highland Resources, a subsidiary of private company Jubilee Metals.

That acquisition in March comprised multiple drill ready targets also in the LFB, offering immediate exploration opportunities while it awaits approval of a mining licence application for its flagship San José lithium project in Spain.

“Outstanding synergies”

INF executive chairman Adrian Byass said the agreements gave the company the opportunity to carefully assess its next move.

If it decides to go ahead, the Mitta Mitta project adjoins existing INF tenure and would consolidate prospective geological host rocks as well as historical goldfields that have produced in excess of 160,000oz gold.

“That some project tenements under option immediately adjoin recently acquired existing tenure provides outstanding synergies,” he said.

“The opportunity to potentially expand our existing gold-copper-silver portfolio with opportunities such as walk-up drill targets extending high-grade results in the Lachlan Fold Belt and combine our immediate exploration focus is highly attractive.”

This article was developed in collaboration with Dart Mining, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.