Greatland Gold signs memorandum of understanding with Metal Tiger Australia

Miner Greatland Gold signed a memorandum of understanding with Metal Tiger Australia, a subsidiary of AIM-listed Metal Tiger, to explore new opportunities in the precious metals and base metals sectors for 12 months.

The companies will focus on opportunities in Australia and Asia primarily, which will expand the company's portfolio of Australian-based projects in the precious and strategic base metal sectors.

They will also discuss establishing an ASX-listed company for the projects and have an to extend the length of the agreement.

Executive director Callum Baxter said while there has been a notable recovery in the mining sector during 2016, the company’s maintains the view that the valuations on early stage exploration assets, particularly unlisted private assets, remain relatively depressed.

As part of the agreement, Metal Tiger will inform AIM-listed Greatland of early-stage exploration projects it considers to be attractive but that are too early stage for it explore, while the company will also inform Metal Tiger Australia of exploration projects that it believes is too large or too complex to execute. This will involve expanding and solidifying their network of industry contacts.

Shares in Greatland Gold were up 6.34% to 0.218p at 1149 GMT and shares in Metal Tiger were up 3.64% to 2.28p at 1106 GMT.