Rox looks at options for Reward project
PERTH (miningweekly.com) – A strategic review has resulted in junior Rox Resources taking the decision to commercialise its Reward zinc project, in the Northern Territory.
The company said on Tuesday that options to commercialise the Reward project could include sale to a third party or a spin-out into a separate company.
“This has been a comprehensive review that has enabled us to evaluate the strategic options for each project and to determine what we think will be the best outcome for our shareholders,” said Rox MD Ian Mulholland.
The Reward project was currently subject to an earn-in and joint venture agreement with Teck Australia, with Rox holding a 49% interest in the project, which could be diluted to 30% if Teck completed its earn-in funding obligations.
The company has advised Teck of its intention at the Reward project.
Rox has valued its current interest in the project at a minimum of A$14.25-million.
Meanwhile, Rox on Tuesday also announced its intention to undertake a A$2.1-million capital raise, given that the commercialisation of the Reward project could likely extend into the new year.
Some 33.33-million shares would be placed at a price of 1.5c each to clients of Patersons Securities to raise an initial A$500 000, while an entitlement issue would be launched offering shareholders one new share for every ten shares held, under the same terms and conditions as the share placement.
“We are pleased to have these options available to us. A transaction to realise value for the Reward zinc asset would be transformative for the company and allow us to pursue a number of growth opportunities both organically within the current project portfolio and by external transactions,” Mulholland said.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
For over 30 years, Werner South Africa Pumps & Equipment (PTY) LTD has been designing, manufacturing, supplying and maintaining specialist...
VISIT SHOWROOM
Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...
VISIT SHOWROOM
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
