Yari Resources Ltd is significantly expanding its coal resource base in Central Queensland’s Bowen Basin, entering into a binding conditional Share Sale and Purchase Agreement (SPA) to acquire a 100% interest in the Arcadia Coal Project, via the acquisition of 100% of the issued capital of Northern Comet Resources Company.
Completion is subject to satisfaction of conditions precedent, including Yari shareholder approval.
The acquisition will effectively double Yari’s JORC Mineral Resource Estimate to more than 500 million t, advancing the company’s strategic district-scale consolidation in the Rolleston coal district amid rising competition for resources within the tier-one Bowen Basin.
Courtney Taylor, Yari’s Managing Director, commented:
“This is about turning Rolleston South from a standalone project into the foundation of a much larger regional opportunity. Arcadia gives Yari additional scale, more geological data and a broader platform to assess long-term development options across the Rolleston coal district. Importantly, the transaction is structured so that the major consideration is linked to project success.
“Yari is maximising shareholder value by structuring the transaction with low upfront consideration and most of the value linked to project milestones, including initial coal production and a gross royalty. Recent M&A activity in the Bowen Basin highlights the value of these assets and we are delighted to be expanding our resource base in this world-class coal district, supporting Yari’s district-scale consolidation strategy.”