Fjordland reports Gold Fields exercises right of first refusal

Fjordland Exploration and Cariboo Resources report that Gold Fields Horsefly has provided written notice that it intends to exercise a right of first refusal with respect to the WJV’s Woodjam South copper-gold property.

Pursuant to the offer, Gold Fields can earn a 51% interest in the Woodjam South Property in consideration for expending US$7 million on exploration over 42 months and the purchase of a total of C$500,000 of common shares of the WJV partners, which will be divided relative to their interests. The offer includes the right to increase the earned interest to 70% by financing a bankable feasibility study. The transaction is subject to due diligence and the execution of a definitive agreement. A draft agreement is expected shortly; its terms will be released upon signing.

President of Fjordland, Tom Schroeter comments:

“The earn-in proposal for the WJV’s Woodjam South Property by a major international mining company and the subsequent notice to exercise its right of first refusal by Gold Fields represents another important step in the WJV’s objective of advancing the entire Woodjam property without significant equity dilution.”

For complete press release, click here.