Adavale Resources has agreed to sell its Marree Embayment uranium portfolio to Orpheus Uranium as it focuses on its gold and copper projects.
The transaction will see Adavale divest 100 per cent of its interest in seven contiguous exploration licences covering 2,513 square kilometres on the northern flank of South Australia’s Flinders Ranges.
In return, Adavale will receive $650,000 in cash alongside five million fully paid ordinary Orpheus’ shares, handing the company a 1.4 per cent stake in Orpheus.
The cash injection will directly fund Adavale’s flagship Belt-Scale Parkes project, located within the highly prospective Lachlan Fold Belt in New South Wales.
This pivot follows Adavale’s acquisition of additional tenure along the Parkes Thrust corridor earlier this month, consolidating a 70-kilometre contiguous strike that hosts a combined gold mineral resource of 165,796 ounces.
Adavale Executive Chairman and CEO Allan Ritchie said the divestment crystallises immediate value from a non-core asset while maintaining exposure to rising uranium prices.
“This transaction is the second in a sequence of carefully managed corporate moves that reshape Adavale into a focused gold-copper explorer-developer,” Ritchie said.
“The cash component supports our continued focus on the Belt-Scale Parkes project, where we now control 70 kilometres of contiguous strike along one of Australia’s most prospective gold corridors.”
The company plans to fast-track exploration at its core New South Wales assets. Immediate next steps at the London-Victoria deposit include systematic brownfields drilling to expand the resource, metallurgical testing, and preliminary scoping studies.
Meanwhile, exploration at the Calarie Gold Mining Licence will leverage magnetic and geophysical surveys to refine high-grade targets.
Despite offloading the South Australian tenements, which sit just 90 kilometres from the operating Beverley and Four Mile uranium mines, Adavale remains confident that its partnership with Orpheus will deliver long-term windfalls through its retained shareholding.
