Latitude 66 Limited has agreed to sell its non-core Piastri Project to Capricorn Metals for A$1.5 million in shares, enabling a sharper focus on its core Finnish and Western Australian assets.
- Sale of Piastri Project for A$1.5 million in Capricorn shares
- Transaction provides non-dilutive liquidity for Latitude 66
- Focus remains on Finnish KSB and Laverton Gold projects
- Piastri located adjacent to Capricorn’s Ricciardo Project
- Completion expected within five business days
Latitude 66 Unlocks Value from Non-Core Western Australian Asset
Latitude 66 Limited (ASX:LAT) has struck a deal to sell its Piastri Project in Western Australia to Capricorn Metals Limited (ASX:CMM) for A$1.5 million, paid entirely in Capricorn shares. The transaction, binding and unconditional, is expected to complete within five business days, delivering non-dilutive capital that Latitude 66 can redeploy into its core exploration and development assets.
The Piastri Project, granted to Latitude 66 just last year, lies within the Yalgoo-Singleton Greenstone Belt, only 200 metres east of Capricorn’s Ricciardo Mineral Resource; a significant deposit boasting 1.96 million ounces of gold equivalent. This proximity makes Capricorn the logical buyer, consolidating their footprint in the Mid-West region and potentially enhancing operational synergies.
Strategic Focus on Finnish and Laverton Gold Assets
Latitude 66’s Managing Director, Grant Coyle, emphasised that the sale aligns with the company’s strategic objective to concentrate on its flagship projects. The capital raised through this share-based transaction avoids dilution, while providing upside exposure to Capricorn’s stock performance.
Lat66 remains committed to advancing the Kuusamo Schist Belt (KSB) Project in Finland, an advanced gold-cobalt development with a resource estimate of 650,000 ounces of gold and 5,840 tonnes of cobalt. The recent grant of exploration permits has accelerated development activities, including ongoing studies and drilling programs. Meanwhile, in Western Australia, Latitude 66 is progressing its Laverton Gold Project, where positive drill results are being integrated into updated resource calculations, signalling potential for resource growth and value creation. These efforts have been detailed in recent company updates highlighting permit acquisitions and drilling successes exploration permits granted for KSB's K1, K2, K3 deposits and Laverton drilling expands Tin Dog mineralised footprint.
Non-Dilutive Liquidity and Portfolio Optimisation
The consideration for the Piastri sale is fixed at A$1.5 million, payable in Capricorn Metals shares at a price determined by Capricorn’s 20-day volume-weighted average price (VWAP) prior to completion. This structure provides Latitude 66 with potential upside if Capricorn’s share price performs well post-transaction.
Latitude 66 has indicated it will continue reviewing its portfolio of non-core assets for further opportunities to unlock latent value without diluting existing shareholders. This disciplined approach supports the company’s focus on advancing high-potential projects with clear pathways to development and value realisation.
With the Piastri Project now under Capricorn’s control, Latitude 66 can streamline its capital allocation and operational focus, potentially accelerating progress at its Finnish and Laverton assets, which are positioned in Tier 1 jurisdictions with strong infrastructure and market demand for gold and critical minerals.
Bottom Line?
Latitude 66’s sale of the Piastri Project crystallises latent value and sharpens its focus on key growth assets, but investors will watch Capricorn Metals’ share price closely to gauge the ultimate benefit of the share-based consideration.
Questions in the middle?
- How will Capricorn Metals integrate the Piastri Project with its Ricciardo operations?
- What further non-core assets might Latitude 66 monetise in the near term?
- How will Latitude 66’s renewed focus on Finnish and Laverton projects translate into resource growth or development milestones?