Key news from global mining publications
Aim-listed Premier African Minerals just declared that Danakil potash co-producer, Circum Minerals, have utilized their exclusive option to acquire the entire issued share funds of ex- AgriMinco subsidiary, Mandalore Development from Premier, effectively consolidating their ownership of the Danakil project, in Ethiopia.
Premier just acquired Mandalore, which owned 30 % of the Danakil venture, from AgriMinco for a fee of C$ 4.3-million, and had given Circum the call option to, in turn, purchase Mandalore.
As an outcome of Circum flexing the preference, Premier was instantly paid $2.5-million net of any advance performed by the Stephen Dattels started corporation, to initially allow Premier to obtain Mandalore.
Premier would be given 2 million shares in Circum using a present value of $1.4-million, as well as the business would obtain another $1-million on July 15, September 15, November 15 and January 15.
Premier CEO George Roach said that with this transaction, Premier had successfully discovered extensive worth from an discovery initiative in a capital sector environment that is just not encouraging of ore exploration. Premier is in the enviable role of not needing to deal with the capital markets for normal operating and prospecting finance for the near future.
Glencore is the most recent mining corporation seeking to purchase ferrous ore assets in Guinea. Most interest is focused on Simandou, one of the world's greatest reserves, according to Reuters.
Most potential shareholders in Simandou are treading carefully, nonetheless.
Israeli-owned BSG Resources, which had been stripped of its license to construct a section of Simandou after a Guinean fraud inquiry, is looking for settlement and has threatened to prosecute businesses that invest in its former permit area.
Three sources surrounding the govt said London-listed Glencore had portrayed its interest in investing in Simandou, in a conference with government officials in Conakry in June.
A copy of a power point project, which the sources mentioned a Glencore rep presented at the meeting, consists of a mention of Glencore having the monetary and technical capability to build massive ventures in the region and "the determination to proceed very quickly together with the government to the exploitation stage of ferrous ore ventures".
A spokesman for Glencore refused to state whether any slideshow was delivered to officials or to comment on the file acquired by Reuters. But he said the business had not made any slideshow showing interest in the Simandou mine.
The presentation does state that Glencore might be well placed to cooperate with businesses that retain interests in Simandou, such as Vale and Rio Tinto and states that Glencore may press the majors to develop facilities in Guinea much faster.
