Transaction Details and Consideration
Westgold Resources Limited (ASX: WGX) (TSX: WGX) has finalized the sale of its Peak Hill Gold Project to Great Boulder Resources Limited (ASX: GBR) for total consideration of $54.4 million. The deal includes a $25 million cash payment (incorporating a previously received $1 million deposit) and a 19.9% shareholding in Great Boulder valued at $29.4 million based on Great Boulder's closing price of $0.075 on June 30, 2026, representing approximately 392.2 million consideration shares. Westgold will also retain a 1.0% Net Smelter Return (NSR) royalty over all future gold production from Peak Hill.
Strategic Rationale
The divestment aligns with Westgold's strategy to simplify its portfolio and unlock value from non-core, non-producing assets. Westgold Managing Director and CEO Wayne Bramwell stated: “The sale of Peak Hill is consistent with Westgold’s strategy to streamline our portfolio and focus on our larger, core operating hubs. The sale to Great Boulder is transformational for them and the upfront cash payment and equity exposure delivers immediate value for Westgold shareholders. Our shareholders also retain exposure to the project’s upside potential through a 1.0% NSR royalty, whilst Great Boulder gains access to a processing solution through Westgold’s Murchison hubs.”
Advisers and Forward Outlook
Argonaut acted as financial adviser and Thomsons as legal adviser to Westgold for the transaction. Bramwell added: “We look forward to the Great Boulder team rapidly advancing Peak Hill and a longer-term relationship across the broader Murchison region.” The announcement was authorized for release to the ASX by Westgold’s Board.
