Highlights

  • Zuleika Gold receives a total settlement of AUD 48 million, split between cash and Catalyst Metals shares.
  • Shares in Zuleika Gold jumped 53.3% to 4.6 cents following the announcement.
  • The settlement ends five years of litigation over the Plutonic Gold Mine, including ownership and royalty disputes.

Zuleika Gold Limited (ASX:ZAG) announced a AUD 48 million settlement with Catalyst Metals Limited (ASX:CYL) on 17 November 2025, bringing an end to the long-running Plutonic Gold Mine litigation. The settlement comes after five years of legal proceedings and has triggered a 53.3% surge in Zuleika Gold shares, which reached 4.6 cents during trading hours. The resolution allows both companies to move forward with certainty, while Zuleika shifts focus to advancing its gold portfolio.

Settlement Brings Closure to Long-Running Dispute

Zuleika Gold reached a final settlement with Catalyst Metals’ subsidiaries, Vango Mining Limited and Dampier (Plutonic) Pty Ltd, regarding the Plutonic Gold Mine litigation in the Supreme Court of Western Australia. The dispute involved Zuleika’s claim to earn up to a 50% joint venture interest in parts of Catalyst’s Plutonic Gold Mine, including beneficial ownership of Mining Lease 52/183 and the K2 Area. The proceedings also covered claims for milestone and royalty payments arising from agreements between Zuleika and the Vango Parties.

Terms of the AUD 48 Million Settlement

Under the terms of the settlement executed on 16 November 2025, Catalyst Metals will provide Zuleika Gold with AUD 48 million in total. This includes AUD 31 million in fully paid ordinary Catalyst shares based on a 90-day volume weighted average price, a cash payment of AUD 15 million upon execution, and an additional AUD 2 million by 13 May 2026. Following the share issuance, Zuleika will relinquish its 4.1% interest in the Tenement and K2 Area, and withdraw its caveat over the assets. Both parties have agreed to mutual releases from any claims related to the litigation.

Market Reaction and Shareholder Impact

The announcement prompted an immediate market response, with Zuleika Gold shares rising 53.3% to 4.6 cents. Shareholders are now likely to benefit from the settlement while the company concentrates on exploring and developing its gold assets.

Looking Ahead

With the litigation resolved, Zuleika Gold intends to focus on advancing its portfolio of gold projects and pursuing further opportunities in the sector. The settlement marks a key milestone for the company and offers clarity on the status of its Plutonic Gold Mine interests. Management emphasizes that the company will now turn attention to operational development and potential growth ventures across its asset base.