Canada's Crocodile Gold (TSX:CRK,OTCQX:CROCF) is capping off the month of August with a plan to sell two of its non-core assets in Australia's Northern Territory. The company announced this morning that it has entered into a sales agreement under which it will sell Phoenix Copper (ASX:PNX) 100 percent of its Iron Blow and Mount Bonnie massive sulfide deposits for a 2-percent royalty "in respect of any gold and silver production from the related tenements." The two companies have also entered into an option agreement that will allow Phoenix to earn up to a 90-percent interest in the Burnside, Moline and Maud Creek base metals and gold exploration projects. To do so, Phoenix must spend $4 million on exploration expenditures in the next four years. Explaining the two deals to Gold Investing News, Rob Hopkins, Crocodile's investor relations manager, said, "our Northern Territory land package is rather large, so we have a number of properties that are ready for exploration." However, as the company doesn't currently have the financial backing to run its own exploration programs, it made sense to pass the projects on to another interested party and thereby "reduce [its] carrying costs." Keeping options open That said, Crocodile isn't backing completely away from any of the projects. In terms of Iron Blow and Mount Bonnie, it will retain an option to buy back a 30-percent interest in the properties within six months of Phoenix completing a feasibility study. If it chooses to do that, Crocodile will have to pay "three times the accumulated exploration expenditures on those tenements." Similarly, the company will retain the option to acquire 90 percent of any gold and silver deposit discoveries at Burnside, Moline and Maud Creek. Again, if it decides to do that, it will have to pay Phoenix "three times the accumulated expenditure related to that deposit." As Hopkins said, "we're passing [the projects] on to somebody else who's interested in the base metals, and the way the deals are structured, if there is any gold or silver, which is what we're focused on, we have the opportunity to look at optioning those back. It's a win-win scenario for both of us."