Application to Surrender Non-Core Wallal Licences

In brief · summary, not quotable

First Development Resources plc has applied to surrender two non-core exploration licences, E45/5853 and E45/5880, at its Wallal Project in Western Australia as part of a portfolio optimisation strategy. This decision allows the company to focus expenditure on its flagship Selta Project in the Northern Territory, including the Phase I RC drilling programme at the Lander West Gold Target, and its remaining Wallal assets. The surrender is expected to reduce future holding costs and reinforce a disciplined approach to capital allocation, with the applications now undergoing the statutory surrender process.

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First Development Resources plc (AIM: FDR), the Australian-focused exploration company, announces that it has lodged applications to voluntarily surrender Exploration Licences E45/5853 and E45/5880, located within the Wallal Project in the Paterson Province of Western Australia.

The applications form part of the Company's ongoing portfolio optimisation strategy following a technical review of its exploration assets. The two out of three licences comprising the Wallal Project have been identified as non-core to the Company's current exploration strategy, allowing the Company to focus exploration expenditure on its flagship Selta Project in the Northern Territory, including the Phase I Reverse Circulation ("RC") drilling programme at the Lander West Gold Target, together with its assets within the Wallal Project, including Exploration Licence E45/5816, which hosts the Company's Eastern and Border exploration anomalies.

The surrender of the two non-core licences will reduce future holding costs while reinforcing the Company's disciplined approach to capital allocation across its exploration portfolio.

The surrender applications have been lodged with the Western Australian Department of Mines, Petroleum and Exploration and will become effective upon completion of the statutory surrender process.

Tristan Pottas, Chief Executive Officer, commented:

"The decision to surrender these non-core licences reflects our disciplined approach to portfolio management and capital allocation. Following a comprehensive technical review, we concluded that these tenements no longer form part of our core exploration strategy.

By streamlining our exploration portfolio, we are able to focus our technical and financial resources on the opportunities we believe offer the greatest potential to deliver long-term shareholder value. With our maiden RC drilling programme now underway at the flagship Lander West Gold Target, our immediate priority is the successful execution of the Phase I RC drilling programme, while continuing to advance our targeting work within the Wallal Project."

Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.