Troy Resources Sells Sandstone Property, Keeps Nickel Rights

Mining Weekly reported Troy Resources (TSX:TRY,ASX:TRY) has sold its defunct Sandstone property, but retained its nickel rights at the mine.

As quoted in the market news:

Under the terms of the agreement, Troy would receive A$5-million in cash, of which around A$2.5-million would replace the environmental bonds on the property, as well as a 2% uncapped net smelter return royalty on all non-nickel production from the site, as well as the issue of 43.66-million warrants for Southern Cross shares, equivalent to 15% of the company’s issued share capital, at a strike price of 10c a share, over a five-year term.

The agreement excluded all nickel interest from the Sandstone property, which was placed on care and maintenance during 2011.

Click here to read the full Mining Weekly report.