Australia-based BKM Management has signed an agreement to acquire Lymex Tenements/ Oakdale Graphite Project company and related program in South Australia following extensive due diligence and negotiation.
The proposed acquisition will allow the company to change the focus of its activities to the development of graphite and base metals on the tenements.
It includes appointment of three new directors to the board and the company changing its name to Oakdale Resources.
As part of the transaction, BKM will consolidate its existing share capital on a 67:1 basis. It will issue 25 million shares and 12.5 million options to Lymex shareholders as consideration for the acquisition.
Another 15 million shares will be issued to Lymex shareholders on achievement of certain milestones. BKM also plans to raise capital by issuing shares priced at $0.20 each.
Oakdale, located within the 9 Lymex tenements that BKM Management is acquiring, is a 200m-wide graphite bearing stratigraphic unit containing bands of crystalline graphite.