Xstate Resources Limited receives third tranche payment for Red Earth asset divestment

Xstate Resources Limited (ASX: $XST) has received the third tranche payment of US$1,000,000 (approximately A$1,514,000) as part of the Company's divestment of its 25% working interest in the Red Earth Assets. The final tranche payment of US$1,327,273 (approximately A$2,010,000) is due to be received on 8 July 2024, being 60 days after this third tranche payment. The Company intends to utilize the funds received in progressing exploration opportunities within its existing portfolio of assets, for potential asset acquisitions for exploration advancement, and for working capital purposes.

Executive Commentary

The Company is pleased to have received the third tranche payment for the divestment of its Red Earth Assets. We are committed to utilizing these funds to further our exploration opportunities and consider potential asset acquisitions for advancing our exploration endeavors. This aligns with our strategic focus on the oil and gas sector globally.

Summary

Xstate Resources Limited (ASX: $XST) has successfully received the third tranche payment for the divestment of its 25% working interest in the Red Earth Assets. The final tranche payment is expected to be received on 8 July 2024. The Company plans to allocate these funds towards progressing exploration opportunities within its existing portfolio of assets, potential asset acquisitions for exploration advancement, and working capital purposes. This strategic move aligns with Xstate's focus on the oil and gas sector globally, reflecting its commitment to pursuing new opportunities and enhancing its position in the industry.