Capricorn has identified seven exploration targets within the project tenure, underscoring the strategic importance of this acquisition.
Located in the southern Murchison Region, approximately 77km² and 20km north-north-east of Capricorn’s Mt Gibson Gold Project, the Ninghan Gold Project is highly prospective for gold mineralization. Capricorn has identified seven exploration targets within the project area, highlighting its strategic value.
Under the agreement, Capricorn paid an initial $100,000 cash deposit. The remaining balance will be settled through Capricorn shares, based on the 20-day volume-weighted average price prior to the deal’s completion, anticipated in May 2025. The transaction is subject to Capricorn’s due diligence process.
Sabre Resources CEO Jon Dugdale stated: “Sabre is delighted to have secured this agreement with Capricorn as it provides the company with a further $1.6m in available funds to advance other exploration opportunities, as well as providing upside exposure to Capricorn’s exploration success through contingent payments and royalties.”
In addition to the sale price, Sabre will receive a 1% net smelter return (NSR) royalty on mineral sales from the project, with a 1.5% NSR royalty applied to tenement E59/2402. Capricorn has also committed to milestone payments of up to $1.75 million, tied to development milestones such as initiating a maiden drilling program, announcing a JORC-compliant Mineral Resource Estimate exceeding 50,000 ounces of gold, or deciding to start commercial mining within the project area.
The agreement allows Sabre to capitalize on the Ninghan Gold Project’s potential while redirecting resources to other exploration initiatives. For Capricorn, the acquisition strengthens its portfolio in a promising gold-rich region, supporting its growth strategy in Western Australia’s mining sector.
