UPDATE 2.25pm: Shares in Bullabulling Gold have jumped sharply this morning after Friday's cash takeover offer from Norton Gold Fields.
Norton's seven cents a share offer values Bullabulling at $24 million.
However Bullabulling has already poured scorn on Norton's offer insisting it did not adequately reflect the value of the company or its project and did not justify a change of control.
Bullabulling urged shareholders not to take any action until they received a target statement from the company with a formal recommendation to shareholders.
The Bullabulling gold project 60km west of Kalgoorlie hosts a mineral resource of 3.75 million ounces, with exploration demonstrating the potential for further upgrades.
Norton Gold Fields is majority (82.4 per cent) controlled by China's Zijin Mining Group, that country's biggest gold producer.
Bullabulling shares closed up 1.4 cents, or 25.93 per cent, at 6.8 cents while Norton shares were steady at 11 cents.