The conditions for the sale have all been satisfied, including payment of the $2 million upfront cash component.
The project has been renamed from Wotonga to Isaac Plains East given it is intended to form an extension to the Isaac Plains coal mine which Stanmore recently contracted to acquire.
Completion of the Isaac Plains transaction is anticipated to occur at the end of October 2015.
Stanmore has planned an extensive exploration program for Isaac Plains East including core drilling, 2D seismic analysis and line of oxidation (LOX) definition.
The program will deliver detailed coal quality analysis and geological information which is anticipated to inform mining feasibility studies and a maiden JORC Resource, according to the company.
The results of the exploration program are expected within 1Q 2016, the company said.