Kiwi gold deal heralds new era for Norm Seckold-backed Uvre

• Uvre signs binding agreement to acquire 100% of the fully paid ordinary shares in the capital of Minerals Exploration
• Highly regarded mining executives Norman Seckold and Peter Nightingale, who are major shareholders of MEL, will join Uvre as non-executive Directors
• The company will shortly call a shareholder meeting to approve the transaction, expected to be around the end of June 2025

Special report: Through a binding agreement, Uvre is set to acquire 100% of Minerals Exploration and its wholly owned subsidiary Otagold, along with their portfolio of five gold exploration and prospecting permits in New Zealand.

The acquisition of Minerals Exploration (MEL) is subject to completion of several conditions precedent, including due diligence on MEL, Otagold and the permits held by Otagold.

It is also contingent on Uvre (ASX:UVA) raising at least $4 million in a single tranche share placement at 8c per share, managed by Bell Potter Securities.

UVA has secured firm commitments for its $4m equity raise following a strongly supported bookbuild, with incoming directors Norman Seckold and Peter Nightingale – both major shareholders of MEL – committing $500,000 and $100,000 respectively, pending shareholder approval.

As full consideration, Uvre will issue 75 million fully paid ordinary shares at a deemed price of 8 cents per share, valuing the transaction at $6 million.

Seckold was previously chairman of New Zealand gold developer Santana Minerals (ASX:SMI) and is currently chairman of Alpha HPA (ASX:A4N), Nickel Industries (ASX:NIC), Fulcrum Lithium (ASX:FUL) and Sky Metals (ASX:SKY).

Otagold controls a strategic landholding in New Zealand, with 100% ownership of five permits and applications covering 332km² of highly prospective ground.

Its flagship asset is the Waitekauri gold project, roughly 8km west of OceanaGold Corporation’s 10Moz Waihi gold mine on New Zealand’s North Island.

‘Exceptional opportunity’

UVA executive chairman Brett Mitchell says this transaction is an exceptional opportunity for Uvre on several levels.

“Norm and his team bring a wealth of knowledge and experience in the resources business, along with a track record of creating substantial shareholder value through resource asset exploration and project development,” he said.

“The Otagold projects led by Waitekauri have compelling gold exploration upside in a tier-one jurisdiction, as shown by the extensive mineralisation and drilling targets already identified.

“The combination of Norman’s well-known record in building successful mining projects combined with the Uvre team, the immense exploration upside at these projects and the strong financial position which will follow the placement will leave Uvre very well-placed to create significant value,” he added.

Targeting bonanza style gold veins at Waitekauri

The Waitekauri project, which covers 58km2 of ground in the Hauraki goldfield, displays the hallmarks of a major goldfield in a region where previous production has included ~10Moz of gold and 1440t silver.

There is an 18km mineralised corridor hosting multiple targets and historical workings, with three main prospects for exploration – Scotia, Sovereign and Jubilee – which sit adjacent to four 1Moz deposits.

With much of the Waitekauri land package underexplored, UVA will be targeting bonanza style gold-silver low sulphidation veins with the objective to identify a multi-million-ounce resource.

Incoming director Norman Seckold said the transaction will enable Uvre to unlock the value of these projects.

“We will have the assets, the team, the experience and the financial strength to conduct the immediate exploration programs which will maximise our ability to create value,” he said.

“The work we have already done on the projects shows they are highly prospective and with the support of the Uvre team and access to capital, we can take them to the next level with the aim of building substantial gold inventories in a tier one location.”

What now?

An eight-hole drill program has been designed with a landowner compensation agreement completed and significant potential identified at depth and along strike.

On completion of the acquisition, UVA plans to aggressively explore several of the aforementioned prospects within the Waitekauri Project area.

Given the company interprets the Waitekauri project to share geological and structural similarities to the 10Moz Waihi gold mine, 8km to the west, UVA believes the Waitekauri project represents a compelling opportunity.

UVA has executed a binding Share Sale Agreement (SSA) with vendors MEL and Otagold, with due diligence well advanced.

The company will shortly call a shareholder meeting to approve the transaction, expected to be around the end of June 2025.

This article was developed in collaboration with Uvre, 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.