ASX-listed Macro Metals has opted to forego the acquisition rights in the Aurora lithium project, in south-east Oregon, in the US, and will instead focus on the expedited exploration and development of its Western Australia iron-ore portfolio.
The board in early March announced a comprehensive review of the existing assets of the company. The review, MD Simon Rushton reports, has determined that shareholder value will be maximised through the exploration and development of the firm’s iron-ore assets.
“That is what we are now executing,” he said in a statement on Monday.
“Our Cane Bore, Catho Well and Goldsworthy Projects all have the potential to deliver significant shareholder value. Importantly, once approvals are in place, they should also be capable of fast-tracked commercialisation due to their proximity to established supply chain infrastructure,” said Rushton.
The other factor behind the decision to terminate the option to earn an 85% interest in the lithium rights of the Aurora project from fellow ASX-listed Aurora Energy Metals was the decision to limit further dilution, unless there was a multiple in upside to shareholder value of doing so.
“We did not see that benefit being realised on this occasion and elected to avoid the dilution that would have resulted from completing the acquisition.”