Westgold Resources Ltd. has agreed to sell its Mt Henry- Selene Gold project in Western Australia to Alicanto Minerals Ltd. for a total consideration of AU$64.6 million.
Under the terms of the agreement, Westgold will receive AU$15 million in cash and 357.1 million Alicanto shares, as well as AU$30 million in deferred consideration, payable in cash or shares.
Westgold said the decision to sell the project is in line with its strategy of focusing on its larger, core operating assets. Mt Henry is a non-core asset acquired as part of the merger with Karora Resources Inc.
Westgold CEO Wayne Bramwell said the divestment follows the spin-out of its non-core Murchison projects to Valiant Gold Ltd.
“Westgold is pleased to partner with Alicanto, whose board and management team are experienced and committed explorers and have a demonstrable record of rapidly advancing gold projects.
“Alicanto’s planned drilling investment provides a pathway for exploration success and potential future development, which can unlock additional value for all stakeholders.”
Following completion, Westgold will become Alicanto’s largest shareholder, with a 19.9 per cent stake in the company and the right to nominate a board member.
Completion of the transaction is subject to Alicanto completing a capital raising of at least AU$25 million. Alicanto will seek shareholder approval for the deal at a shareholder meeting on or around January 30, 2026.
Alicanto said the acquisition will position the company in a Tier 1 West Australian gold jurisdiction and deliver a large, near-surface gold system with substantial growth potential.
Alicanto Interim Executive Chair, Ray Shorrocks, said: “The Mt Henry acquisition is an exceptional company making opportunity for Alicanto.
“It provides immediate scale, a high-quality, near-surface Resource and a clear platform for rapid growth and development.
“We will waste no time in unlocking this potential, with a 50,000m drilling program already scheduled to start in the first quarter of 2026.”
Meanwhile, Bramwell said Westgold will continue to progress its plans to divest more non-core assets.
The company is in discussions regarding the potential sale of its Hill and Chalice gold assets following strong inbound interest.
