Blackstone Minerals Ltd spinout Codrus Minerals lists on the ASX

Blackstone Minerals Ltd’s (ASX:BSX) (OTCMKTS:BLSTF) wholly-owned subsidiary, Codrus Minerals Ltd (ASX:CDR), has completed its initial public offering (IPO) and has started trading on the ASX today. The spinout recently raised $8 million to support its listing on the local registrar, with shares rising to 21 cents on debut from its issue price of 20 cents. As part of its listing, Codrus will absorb a suite of non-core gold exploration assets from Blackstone. Consequently, the Silver Swan South, Red Gate and Middle Creek projects in Western Australia and the Bull Run Project in eastern Oregon will shape the new lister’s portfolio. The spinoff means Blackstone is free to commit its energy to its flagship Ta Khoa Nickel-Copper-Platinum Group Element Project in Vietnam. Blackstone will retain a 42% equity stake in Codrus, escrowed for two years. Codrus steps out with IPO As part of its IPO, Codrus Minerals set out to issue up to 40 million shares at 20 cents each to raise between $5 million and $8 million. PAC Partners Securities Ltd and Westar Capital Limited were appointed as joint lead managers to facilitate the raise. Blackstone shareholders could access a 10-million-share priority offer, allowing them ‘first dibs’ on the offering as Codrus prepared to go public. Codrus will be led by Shannan Bamforth, a geologist with over 20 years’ experience in the resources industry with a focus on base metals and gold. Bamforth joined the Codrus team from Sandfire Resources Ltd (ASX:SFR) (OTCMKTS:SFRRF) (FRA:S2Z), where he worked as general manager of geology since 2010. In addition to Bamforth’s managing director appointment, non-executive chairman Andrew Radonjic and non-executive director Jamie Byrde were also appointed to the Codrus Minerals board. Blackstone Minerals’ managing director Scott Williamson said at the time: “We are delighted to announce the IPO prospectus for Codrus, enabling Blackstone to create shareholder value with a valuation of $7 million in new Codrus shares received from the non-core gold portfolio … “I wish the Codrus team well for a successful IPO and listing in the near term.” Codrus’ new portfolio As a separate listed entity, Codrus will explore four gold assets in Western Australia and the USA. The first, the Silver Swan South gold and nickel prospect, is situated around 20 kilometres northeast of Kalgoorlie. It comprises seven granted exploration licences, covering 45.2 square kilometres. Next is the Red Gate Project, a gold prospect 140 kilometres north of Kalgoorlie, with one granted exploration licence spanning 145.2 square kilometres. The third is the Middle Creek Project, a gold prospect around 185 kilometres north of Newman. The project includes 21 granted prospecting licences and covers 37.4 square kilometres. Finally, the Bull Run Project is a gold prospect in eastern Oregon, USA, which has been mined for vein gold since 1929. The company has an option to acquire 11 mining claims and a 100% interest in an additional 79 mining claims at Bull Run.