Ajax Resources (AQSE:AJAX), the Aquis-listed natural resources investment company, has signed a share purchase agreement to acquire a 74.79% interest in the Paguanta Project in Chile from Asara Resources, an ASX-listed company focused on its Kada Gold Project in Guinea.
The deal follows an exclusivity agreement first announced on 19 January and remains conditional on Asara satisfying certain conditions precedent, with no consideration payable until then.
Initial consideration on completion totals US$400,000, split between US$50,000 in cash and US$350,000 in Ajax shares issued at 25p, a 5.55x multiple over the closing price of the company's shares admitted to the Aquis Growth Market on 14 August. Deferred payments of US$500,000 each become due on announcement of a JORC-compliant Ore Reserve exceeding 25 million tonnes at 5% or greater zinc equivalent, and separately on an Ore Reserve containing at least 5 million tonnes of copper.
Paguanta is a former producing silver mine with roughly US$32 million of historical expenditure and a historical JORC (2012) resource of 2.4 million tonnes grading 5.0% zinc, 1.4% lead, 88 g/t silver and 0.3 g/t gold, containing about 6.8 million ounces of silver.
The project sits adjacent to the Loreto Copper Project, optioned to Teck Resources, and hosts underexplored copper targets at La Rosa, Doris and Patricia East.
"We believe Paguanta represents a highly compelling opportunity for Ajax," said chief executive Ippolito Ingo Cattaneo, pointing to the resource's scale, historical investment and copper prospectivity.
The acquisition extends Ajax's South American footprint alongside existing operations in Argentina and Brazil, with a further update due upon completion.
News Intelligence what this means for the company
Ajax Resources has signed a share purchase agreement to acquire a 74.79% stake in Chile's Paguanta silver-zinc-lead project from Asara Resources, with minimal upfront cash outlay (US$50,000) and deferred payments of US$500,000 each tied to hitting specific zinc and copper resource milestones. The deal extends Ajax's South American footprint beyond its existing Argentina and Brazil operations, but the acquisition remains conditional and no cash changes hands until completion, making this a commitment of intent rather than a closed transaction.
- Asara Resources, the seller, is divesting its non-core Chilean asset to focus on its Kada Gold Project in Guinea; the transaction may signal Asara's strategic pivot away from the Paguanta region.
For a microcap explorer, the deal structure—minimal cash upfront, deferred payments tied to resource definition milestones—limits near-term cash burn while preserving optionality; however, Ajax's ability to fund the exploration and drilling needed to unlock those deferred payments remains unaddressed in the announcement.
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