07:47 AM EDT, 04/01/2025 (MT Newswires) -- Westgold Resources ( WGXRF ) on Tuesday completed the sale of its Lakewood Milling Operation to Black Cat Syndicate for A$85 million.

The sale price includes A$70 million in cash and A$15 million in Black Cat scrip issued at A$0.76 apiece. As of March 31, Westgold received A$25 million in cash, with an additional A$20 million payment due by June 30, and the final cash payment of A$25 million on Nov. 30.

The company said it retains priority access to process up to 200 kilo-tonnes per annum of ore at Lakewood via a toll-treating agreement, for a period of two years.

"All Beta Hunt ore will now be directed to and processed at our Higginsville operation. This allows us to prioritise higher grade ore through this mill and realise the lower operating costs of this larger 1.6Mtpa mill," said Westgold Chief Executive Wayne Bramwell.

Bramwell added that a study on the option to expand the Higginsville Mill is nearing completion, with results to be reported this month.