Mustang muscles in on Mozambique
PERTH (miningweekly.com) – ASX-listed junior Mustang Resources has signed an agreement with private Australian miner Montepuez Minerals to acquire an 80% share in the unlisted company, giving Mustang access to three highly prospective ruby licences in Mozambique.
By acquiring an 80% stake in Montepuez, Mustang would effectively gain a 64%, 56% and 56% interest in the three licences, which jointly cover some 15 800 ha in the Montepuez region, where Aim-listed Gemfields recently discovered the world’s single largest ruby deposit.
“The board is excited about the acquisition of these highly prospective ruby assets in the world-class Montepuez province and we believe it has the potential to add significant shareholder value in the near term,” said Mustang CEO Andrew Law.
“Importantly, the acquisition is very closely aligned with Mustang’s vision to develop a portfolio of world-class mining projects in the Republic of Mozambique that have the potential to generate significant cash flows with relatively limited capital outlay.”
Under the terms of the transaction, Mustang would pay an initial $1.5-million on the completion of the deal, of which $150 000 would be in cash and the balance in Mustang shares.
A further $2-million payment, payable in performance rights, would be made on the recovery of 500 ct of rubies, while a further $2.5-million would be payable, of which $750 000 would be in cash on the recovery of 10 000 ct of rubies.
On the recovery of 50 000 ct of rubies, a further $3-million would be payable, of which $2-million would be paid in cash and the balance settled in performance rights.
The transaction was subject to a number of conditions, including the completion of a due diligence and independent expert report, as well as shareholder approval and Mustang successfully completing a capital raising.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Education: Consulting with member companies to obtain the optimal benefits from their B-BBEE spending, skills resources as well as B-BBEE points
VISIT SHOWROOM
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
