Strategic Minerals PLC Strategic Minerals Settles Rail Claim (8299E)

TIDMSML

RNS Number : 8299E

Strategic Minerals PLC

21 July 2016

21 July 2016

Strategic Minerals plc

("Strategic Minerals" or the "Company")

Strategic Minerals Settles Rail Claim

Strategic Minerals plc (AIM: SML; USOTC: SMCDY), the diversified mineral development and production company, is pleased to announce that it has accepted a settlement offer in relation to its claim pertaining to rail works for the Cobre Mine in the USA, of US$675,000, to be paid in instalments of $100,000 in August 2016, $400,000 in January 2017 and $175,000 in June 2017.

Strategic Mineral's Managing Director, John Peters, said:

"The settlement reflects management's belief that it had a valid claim in relation to rail access during the period it shipped magnetite internationally. As with any dispute, the process to arrive at the settlement has taken up considerable management and legal resources and I would like to acknowledge the work of our team on this. In particular, Clovis Hooper, CEO of our subsidiary Southern Minerals Group, our CFO Julien McInally and our legal counsel Daniel Jaffe of Slover & Loftus LLP.

The result is excellent for the Company providing it with "non-dilutive" funds with which to complete its plans."

For further information, please contact:

 
 Strategic Minerals plc 
  John Peters 
  Managing Director              [phone] 
 Allenby Capital Limited 
  Nominated Adviser and Joint 
  Broker 
  John Depasquale 
  Jeremy Porter 
  James Reeve                    [phone] 
 Cornhill Capital Limited 
  Joint Broker 
  James Sheehan 
  Colin Rowbury                  [phone] 
 Yellow Jersey PR 
  Financial PR 
  Dominic Barretto 
  Alistair de Kare-Silver        [phone] 
 

Notes to Editors

Strategic Minerals Plc is an AIM-quoted, diversified mineral development and production company with projects in the United States of America and Australia. The Company is focused on acquiring and developing cash generative, high quality projects that meet local market demand for commodities and utilising this cash flow to undertake value added exploration.

In September 2011, Strategic Minerals purchased its first cash generating asset; the Cobre magnetite tailings dam project in New Mexico, USA which it brought into production in 2012 and which continues to provide a revenue stream for the Company. The portfolio was expanded in January 2016 with the acquisition of shares in Central Australian Rare Earths Pty Ltd, which holds tenements in Western Australia and the Northern Territory that are prospective for nickel sulphides, platinum and rare earths. Strategic Minerals has completed drill testing of the highest priority nickel sulphide targets within the tenements, having successfully intersected nickel sulphide. In May 2016, the Company also entered arrangements to buy up to 50% of the Redmoor tin/tungsten exploration project in Cornwall, UK.

This information is provided by RNS

The company news service from the London Stock Exchange

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July 21, 2016 02:00 ET (06:00 GMT)