JOHANNESBURG (miningweekly.com) – Private equity fund Greenstone Resources will increase its ownership in Australian base metals miner Heron Resources to 19.3%, through the acquisition of 398-million shares valued at $21-million.
The company currently has a 16.23% ownership in Heron Resources.
Greenstone will subscribe through two separate tranches, with Greenstone acquiring 30-million common shares of Heron in the first tranche.
The second tranche will be subject to approval by Heron shareholders and, if completed, Greenstone will acquire a further 368-million common shares in Heron.
Heron’s flagship asset, the Woodlawn zinc-copper project, is based 220 km southwest of Sydney, and comprises two significant polymetallic resource-based assets – the Woodlawn underground project and the Woodlawn tailings retreatment project.
With a nine-year mine life, Woodlawn is expected to produce 284 000 t zinc, 67 000 t copper, 87 000 t lead, 7.5-million ounces of silver and 28 000 oz gold.