Silver Lake acquires EganStreet for $40m.

Silver Lake Resources, mineral exploration company and EganStreet Resources, company exploring and developing precious and base metals have reached an agreement​pursuant to which Silver Lake will acquire all of the issued and outstanding ordinary shares of EganStreet. Each EganStreet shareholder will receive 0.27 Silver Lake shares for every EganStreet share held. The deal​ value is $40m. EganStreet’s key asset is the 100%-owned Rothsay Gold Project, a high-grade, underground project about 85 kilometres southeast of Silver Lake’s Deflector mine and processing hub. The acquisition of EganStreet will allow Silver Lake to consolidate an additional JORC Resource of 454k ounces and JORC Reserve of 200k ounces at the Rothsay Gold Project and provide a near term development opportunity to introduce a new high-grade ore source to an upgraded Deflector processing facility. "The acquisition of EganStreet and its Rothsay Gold Project is consistent with Silver Lake’s strategy of creating new opportunities to compete for capital and maximising the value of the existing asset base. Silver Lake’s nearby infrastructure at Deflector can unlock additional value at Rothsay and this is reflected in the share price premium offered to EganStreet shareholders.” Luke Tonkin, Managing Director of Silver Lake.