Kentor sells Andash project to Robust Resources
PERTH (miningweekly.com) – ASX-listed Kentor Gold has sold off its Andash gold/copper project, in the Kyrgyz Republic, to fellow-listed Robust Resources for A$15-million.
Under the terms of the agreement, A$1-million would be payable immediately, with the balance of the fee payable on the completion of the transaction.
A 2010 definitive feasibility study had confirmed that the Andash project could deliver some 70 000 oz/y of gold and 7 400 t/y of copper, over a six-year life-of-mine, with the project having a net present value of $241-million.
The project has a reserve of some 539 730 oz of gold and some 63 486 t of copper, with significant exploration upside.
The acquisition also included an inventory of mining plant and equipment, which had already been deployed in the Kyrgyz Republic.
Robust told shareholders on Wednesday that the acquisition was in line with the company’s strategy of creating an Asia-focused low-cost mining and exploration company.
“The transaction is in line with our strategy of building a pipeline of advanced, low-cost, precious metal projects in the Asia region, a strategy we have articulated for some time,” said Robust MD Gary Lewis.
He noted that the Andash project would be the most advanced project in the Robust portfolio, and noted that the company would have the funding support and in-country team in place to start the development of Andash on an accelerated time line.
“The Andash acquisition is an excellent transaction for Robust. Our strong cash position, and a supportive largest shareholder that has experience in the region, has allowed us to capitalise on this unique opportunity, and acquire a project that has significant unlocked value,” Lewis said.
The divestment of the Andash project would likely be finalised by the end of June, with the transaction subject to shareholder approval, the completion of a due diligence, and regulatory approvals.
Meanwhile, Kentor noted that the divestment of the Andash project was also in line with its own strategy, as the board had taken a strategic decision to focus on the exploration and development of the potentially large, and financially robust Jarvois copper/gold project, in the Northern Territory.
The miner said that having now secured funding at a corporate level, Kentor would focus on the reinstatement of share trade.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation