https://www.miningweekly.com

Rockwell concludes Jasper acquisition

20th March 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

Font size: - +

JOHANNESBURG (miningweekly.com) – TSX- and JSE-listed Rockwell Diamonds has completed the acquisition of the Jasper mine following the conversion of the mine’s old-order mining right into a new-order mining right.

The group settled the R2-million purchase consideration through the issue of 533 332 shares at R3.75 apiece to Jasper shareholders.

The deal formed part of the transaction to unwind Rockwell’s black economic-empowerment partnership with Africa Vanguard Resources (AVR).

Last year, the parties announced a restructured agreement, which included a payment to AVR by Rockwell of R15-million in the form of shares listed on the JSE, which included the settlement, as well as purchase consideration, for AVR's Jasper mine, in the Northern Cape, and, as part of the agreement, AVR paid an amount of R22.5-million to Rockwell.

Good progress had been made in terms of securing external funding to cover purchase consideration by the new partner, Rockwell CEO James Campbell noted.

The Jasper mine project, with initial alluvial deposit assessments indicating a similar production profile to that of Rockwell’s nearby Saxendrift operation in terms of quality, size and value, provided the potential to extend the latter’s mine life, he said in a statement on Wednesday.

“Jasper increases our options within the Saxendrift complex to grow our production profile and deliver on our forecast recoveries,” he stated.

Rockwell expected to release the technical statement outlining the results of the geological studies estimating the resources at the Jasper mine by the end of May.

The company was also reviewing the possible construction of an in-field screen at Jasper, with projected efficiency benefits for the overall operating cost structure of the mine.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

The functionality you are trying to access is only available to subscribers.

If you are already a subscriber, you can Login Here.

If you are not a subscriber, you can subscribe now, by selecting one of the below options.

For more information or assistance, please contact us at subscriptions@creamermedia.co.za.

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?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION