OM Holdings Limited (ASX: OMH), entered into a binding Farm-In and Joint Venture Agreement with Bryah Resources Limited for the Bryah Basin Manganese Project. Under the Farm-In and Joint Venture Agreement for the Bryah Project, OM (Manganese) Ltd had made a payment of A$0.25 million, and it has been granted an option to acquire an initial 10% interest in the Bryah Project.
A string of non-trading days helped the Australian share market to rocket to an 11-year high with a strong across the board performance.
Every trading session was a winner with the market closing at the highest level since December 2007 on Friday.
Among the companies making headlines this week were:
Bryah Resources is set to unlock the manganese value of its Bryah Basin project after OM Holdings agreed to earn up to 70% in the project by spending $7.3 million on exploration.
OM’s payments will be broken down in various stages and milestones, with the duo anticipating developing a near-term commercial manganese mine at the project.
“The execution of this agreement with the highly regarded OM Holdings Group is a game-changing event for Bryah and its shareholders,” Bryah managing director Neil Marston said.
Mr Marston said the joint venture de-risked Bryah’s strategy to become a manganese miner while it firms up the copper and gold potential across its tenements.
Here are five Fastmarkets MB stories you might have missed on Wednesday April 24 that are worth another look.
OM Manganese will spend as much as A$7.3 million ($5.2 million) to establish a manganese ore joint venture in Western Australia with copper-gold-manganese explorer Bryah Resources.
Under the agreement, OM Manganese, which is a wholly-owned subsidiary of Australia-listed mining and metallurgical group OM Holdings (OMH), can earn an interest in as much as 70% of the mineral rights at the Bryah Basin manganese project.
Perth-based junior miner, Bryah Resources Limited (Bryah), has just signed an AU$7.3 Million manganese Farm-In agreement and executed a Joint Venture Agreement (Agreement) with OM Holdings Limited (OM) – a strong player in the manganese industry.
OM Holdings has swooped on Bryah Resources, signing a $7.3 million farm-in and joint venture deal with the tiddler as it looks to replace its Bootu Creek mine in the Northern Territory.
Under the terms of the deal, OM can secure 70 per cent of Bryah’s 660sqkm landholding near Meekatharra.
Bryah will also exercise an option to buy the historic Horseshoe South manganese mine and manganese rights to a further 154sqkm of adjoining ground, which will be incorporated into the joint venture.
Bryah Resources (ASX:BYH) managing director Neil Marston updates Proactive Investors on the company's "game-changing" new joint voint venture with OM Holdings Ltd (ASX:OMH), giving Bryah the ability to earn a 51% interest in manganese mineral rights over 600 square kilometres.
Marston says the company took advantage of OMH Group’s search for new manganese ore to replace its Bootu Creek production.
He adds that exercising Bryah’s option to buy the historical Horseshoe South Manganese Mine gives it exposure to a mine that produced about one million tonnes of high grade manganese ore from 1948-1969 and 2008-2011.
The company has also exercised its options to purchase the historical Horseshoe South Manganese Mine and manganese rights over adjoining ground.
Bryah Resources Ltd (ASX:BYH) has executed a “game-changing” $7.3 million manganese farm-in agreement with OM Holdings Limited (ASX:OMH) covering manganese in the company’s Bryah Basin project.
A farm-in and joint venture agreement has been signed with OM (Manganese) Ltd (OMM), a wholly-owned subsidiary of OM Holdings, a regional leader in the manganese industry.
Shares are up almost 17% at midday to 7.6 cents.
Bryah’s managing director Neil Marston said: “The execution of this agreement with the highly regarded OMH Group is a game-changing event for Bryah and its shareholders.
“OMH Group has manganese mining expertise and is seeking new sources of manganese ore to replace its Bootu Creek production in the near future.”
Manganese miner Bryah Resources (ASX: BYH) has done a deal with fellow manganese miner OM Holdings (ASX: OMH) to spend up to $7.3 million to earn up to a 70% interest in Bryah’s flagship West Australian project. OM has already paid a $250,000 signing fee and will have paid another $750,000 by August in an exercise fee and project expenditure.
OMH will then have to spend $2 million by 30 June 2022 to earn 51 per cent and further targets, which take the total to $7.3 million have been set with a relevant stake but without a time frame. Drilling will commence in early May. Bryah Managing Director Neil Marston has declared the deal ‘a game-changing event’ for the company.
Bryah Resources Limited
Level 1, 85 Havelock StreetWest PerthWestern Australia 6005
T: +61 8 9321 0001
Subscribe to our Email Alerts