Horizon Lake Johnston Project Sale

Horizon Advances Lake Johnston Project Sale to Forrestania

Horizon Minerals moves to divest the Lake Johnston asset through a binding agreement with Forrestania Resources. The Horizon Lake Johnston project sale carries a total value of $22.93 million and includes cash and equity components. Horizon positions this deal as a strategic move to strengthen its balance sheet and accelerate development of its Black Swan processing facility.

The transaction outlines a staged payment structure. Horizon receives A$2 million on signing, followed by A$14 million upon the execution of a full agreement. A further A$14 million and A$5 million in Forrestania shares will follow at completion. Meanwhile, the deal requires regulatory approvals, third-party consents, and Forrestania’s capital raising. Both parties target completion by January 2026.

How the Horizon Lake Johnston Project Sale Supports Black Swan

The Horizon Lake Johnston project sale allows Horizon to refocus capital on its 100%-owned Black Swan project. The company plans to restart its processing plant and feed it with gold resources within its portfolio. The recent Gordon’s Dam acquisition further strengthens the pre-feasibility study for the Black Swan processing facility. As a result, the divestment enhances Horizon’s ability to secure long-lead items and pursue new M&A opportunities.

Horizon CEO Grant Haywood underscores the strategic fit of the sale. The company views Lake Johnston as a non-core asset inherited from the Poseidon Nickel merger. However, Horizon retains upside exposure through its share position in Forrestania. The structured consideration also provides flexibility as both parties finalize the sale and purchase agreement within the next 30 days.

Forrestania Targets Growth Through Strategic Acquisitions

Forrestania Resources gains a valuable nickel and gold asset through the deal. The company sees Lake Johnston as a platform to expand its regional footprint. However, the acquisition requires capital raising and successful completion of all assignment deeds. The Horizon Lake Johnston project sale highlights renewed interest in Western Australia’s nickel belt as companies position for long-term battery mineral demand.

SuperMetalPrice Commentary:

The sale signals a broader trend across Australia’s nickel and gold sector. Companies now prioritize balance sheet strength as market volatility persists. Horizon’s divestment shifts capital toward near-term production at Black Swan, a strategy that aligns with tightening supply dynamics across battery metals. Forrestania also gains strategic ground as consolidation accelerates in Western Australia’s resource sector. This transaction could influence similar asset reshuffling as mid-tier players reposition for the next commodity upcycle.