Gateway Mining completes transaction and announces leadership transition

Gateway Mining Limited (ASX:GML) has successfully completed the sale of its gold rights within the eastern tenement block of the Montague Project to Brightstar Resources Limited (ASX:BTR) for $14 million. The transaction has bolstered Gateway's balance sheet, providing $5 million in cash and 466,666,667 million Brightstar shares, with an additional $2 million in Brightstar shares contingent on project milestones. Additionally, the completion of this deal marks the decision of Mark Cossom to step down as Managing Director after five years, with Peter Langworthy transitioning to Executive Chair to oversee the company's growth phase.

Executive commentary on the completion of the Brightstar transaction and leadership transition

Gateway Chairman, Peter Langworthy, expressed satisfaction with the completion of the transaction with Brightstar Resources, emphasizing the significant value realized from the resource-level gold assets within the Eastern Montague Project. He acknowledged Mark Cossom's pivotal role in steering the company through challenging times and thanked him for his hard work, leadership, and commitment. Langworthy highlighted the company's strengthened position, with a significant shareholding in Brightstar, a robust cash balance, and promising assets, setting the stage for future growth opportunities.

Summary of Gateway Mining's completed transaction and outlook

Gateway Mining's completion of the $14 million Brightstar transaction has fortified its financial position, enabling a focus on ongoing gold and base metals exploration at the Montague Range Project while pursuing new value-accretive growth opportunities. The leadership transition, with Mark Cossom stepping down as Managing Director and Peter Langworthy assuming the role of Executive Chair, signifies a strategic shift for the company. With a strengthened cash balance and a significant stake in Brightstar, Gateway is well-positioned to capitalize on new growth opportunities amidst a buoyant gold and precious metals market. The company's identification of exciting new exploration prospects and the retention of mineral rights in the Sale Tenements further underpin its strategic direction for future success.