Hunter Resources PLC Update on the Company's Pampamali Joint Venture (7681Q)

TIDMHUN

RNS Number : 7681Q

Hunter Resources PLC

02 March 2016

2 March 2016

Hunter Resources plc

("Hunter" or the "Company")

(AIM: HUN)

Update on the Company's Pampamali Joint Venture

Further to the Company's announcement of 25 February 2016, the Company announces that it has not yet reached agreement with the Vendors in connection with the exercise of the Option and that the Vendors continue to obstruct the legal process. Definitions used in the Company's announcement of 25 February 2016 have the same meaning in this announcement.

The Company had previously given the Vendors until close of business (Peru Time) on 29 February 2016 to agree to comply with their obligations under the Joint Venture Agreement but, as of the date of this announcement, the Company had not received confirmation from the Vendors that they intend to comply.

The Company has accordingly commenced formal arbitration proceedings through the American Chamber of Commerce of Peru. The Company will continue to negotiate with the Vendors to try to reach a settlement and thus complete the legal formalities of the transfer of the title of the Pampamali tenements to HOLDCO.

In the event that:

   i)             the Vendors fail to transfer title of the tenements at Pampamali to HOLDCO; and 
   ii)            Gold Hunter SAC does not own a 51% interest in HOLDCO 

by 4 July 2016 the Ordinary Shares will be suspended from trading on AIM at 07.30hrs on 5 July 2016. Trading in the Ordinary Shares will remain suspended until the Conditions have been fully satisfied. In the event the Conditions are not fully satisfied within six months of suspension then the admission to trading on AIM of the Ordinary Shares will be cancelled.

In the meantime, the Company is also reviewing several additional projects.

For further information, please contact:

 
Hunter Resources plc       Allenby Capital Limited 
 Simon Hunt                 (Nominated Adviser and 
 (Chairman)                 Broker) 
 www.hunter-resources.com   Nick Naylor/John Depasquale/ 
                            Nick Harriss 
                            [phone] 
 
                            www.allenbycapital.com 
-------------------------  ----------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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March 02, 2016 04:30 ET (09:30 GMT)