Ascot revises terms for Wonmunna deal with Ochre
PERTH (miningweekly.com) – TSX-V and ASX-listed Ascot Resources has revised the terms of its multimillion-dollar asset deal with Ochre Group Holdings over the Wonmunna iron-ore project, in the Pilbara.
In March this year, the two companies agreed on the terms of the transaction, which would see Ascot issue Ochre with 88-million fully paid ordinary shares, along with an initial cash consideration of A$2-million. A further A$29.75-million would be payable within five years of the transaction completion date, with an interest rate of 5.88% payable on the additional consideration.
However, Ascot on Thursday told shareholders that the companies had now agreed on revised terms, which would see Ascot issue only 50-million fully paid ordinary shares. The cash consideration would remain unchanged at A$2-million, and would be payable on completion of the transaction.
The additional consideration had also been dropped from A$29.75-million to A$19.95-million, with the funds payable within five years of first production and ore sales.
A 1% gross revenue royalty on all the products produced remains unchanged, and would start 12 months after Ascot completed the first shipment of product.
Ascot told shareholders that despite the revised agreement being binding, the transaction still remained subject to shareholder approval, as well as Ascot raising a minimum of A$5-million in new equity.
The Wonmunna project comprises four direct shipping ore deposits, and was reported to host a resource of about 84.3-million tonnes, at an average grade of 56.5% iron, with 64% of the resource estimate classified as indicated.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Sika South Africa is a trusted partner for the nation’s infrastructure, commercial, residential, and industrial sectors.
VISIT SHOWROOM
ECG provides specialised electrical engineering services to the Mining, Utilities, Materials Handling and Industrial industries, with extensive and...
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
