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Union Star Metals Ltd (ASX:USM)

ALERT: Price-sensitive ASX Announcement for USM
Current share price for USM : $0.009 0 (0%)+
Announcement
Release
22 Jul 2026 8:17AM
Price at Release
$0.009
Full Release
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Summary
Union Star Metals Limited has finalized a binding agreement with Harvest Minerals Limited to divest its Brazilian subsidiary, Scanty Mineração Ltda. This strategic move involves an initial cash payment and shares in Harvest, while Harvest assumes substantial financial obligations related to the Brazilian assets. This divestment is part of Union Star's broader strategy to streamline its portfolio by focusing on promising gold and silver projects in the USA, primarily in Nevada and Idaho, thus allowing the company to concentrate its resources on exploring these areas for significant mineral potential.
Key Points
  • Union Star Metals Limited has entered into a binding agreement to sell its Brazilian subsidiary, Scanty Mineração Ltda, to Harvest Minerals Limited.
  • The agreement includes an initial cash consideration of A$200,000 and 40,000,000 fully paid ordinary shares in Harvest Minerals.
  • Deferred cash considerations include A$100,000 upon declaration of a qualifying Mineral Resource and A$200,000 upon the first development milestone or after 60 months.
  • Harvest Minerals will assume the remaining A$1.5 million deferred acquisition payments and royalty obligations.
  • The transaction allows Union Star to focus on its gold and silver projects in Nevada and Idaho, USA.
  • The transaction is part of Union Star's strategic transformation to simplify its portfolio and focus on long-term value creation through exploration in the USA.
  • Union Star retains an equity position in Harvest Minerals, allowing continued exposure to the Brazilian rare earth portfolio.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.