Asra Minerals Limited (ASX:ASR) announces sale of Tarmoola Pastoral Lease

Asra Minerals Limited (ASX:ASR) has executed a binding Sale and Purchase Agreement for the sale of the Tarmoola Pastoral Lease in WA's Goldfields to Red 5 Limited (ASX:RED) for a total purchase price of $3 million cash. The sale proceeds will bolster Asra's cash reserves and support the company's upcoming exploration and drilling campaign at both its Mt Stirling and Kookynie Gold Projects.

Executive Commentary on Sale and Purchase Agreement

When the Tarmoola Pastoral Lease was first acquired in 2022, our prime intention was to establish and develop a location for the Company to facilitate future exploration programs at the Mt Stirling Gold Project. The agreement with Red 5 allows us to retain the existing Tarmoola exploration camp and facilities, which is critical for Asra to house our exploration team as we embark on an extensive drilling campaign in the region. The Pastoral Lease sale will also significantly boost Asra's treasury as we progress our drilling programs at Mt Stirling and Kookynie, which will deliver a steady flow of results over the next six months. The landscape for exploration companies in the current market is difficult, irrespective of the buoyant gold price, yet this sale has placed Asra in a strong position as we launch into our gold exploration strategy. We understand the frustration of shareholders recently, however, our dedicated exploration team has been working through a rich database of previously unanalysed drilling and geological data at both projects. This new interpretation has set the foundation for targeted exploration campaigns as we endeavour to grow our current gold resource in one of the most exciting gold-bearing locations of the Goldfields.

Summary of ASX Announcement

Asra Minerals Limited (ASX:ASR) has successfully executed a binding Sale and Purchase Agreement for the sale of the Tarmoola Pastoral Lease in WA's Goldfields to Red 5 Limited (ASX:RED) for a total purchase price of $3 million cash. The sale proceeds will be utilized to support Asra's upcoming exploration and drilling campaign across both its Mt Stirling and Kookynie Gold Projects. The divestment of the Pastoral Lease will also deliver substantial operational savings to the Company, which can be directed towards Asra's future exploration activity. Additionally, the Company intends to issue up to 160m Performance Rights under the Company's Long Term Incentive Plan to be distributed among the directors, key employees, and contractors, aligning with the Company's strategy to become a significant gold player in the region. Asra Minerals holds a dominant land position in a proven greenstone belt, with proven high-grade gold potential and a track record of major discoveries, positioning the Company for future success in the exploration and mining sector.