Richland Resources Ltd Appointment of Sightholders and Supply Agreement (2278J)

TIDMRLD

RNS Number : 2278J

Richland Resources Ltd

27 June 2017

27 June 2017

Richland Resources Ltd

("Richland" or the "Company") (AIM: RLD)

Appointment of Sightholders and Exclusivity and Supply Agreement

Richland (AIM:RLD), the gemstones producer and developer, today announces that its wholly owned subsidiary, Capricorn Sapphire Pty Ltd ("Capricorn Sapphire"), has appointed its first Sightholders and has also entered into an exclusivity and supply agreement.

Appointment of first Sightholders

The Company announces the implementation of its Capricorn Sapphire Sightholders System with the appointment of Royal Touch LLC ("Royal Touch") and China Stone Co, Ltd ("China Stone") as Capricorn Sapphire Sightholders.

Royal Touch has had a long and successful working relationship with the Company and was previously a Sightholder for Richland's tanzanite mining operations in Tanzania (Tanzanite One Mining Ltd). Royal Touch has an extensive consumer network, especially in the United States of America, and amongst others, has close relationships with certain television sales networks.

China Stone is a world-leading provider of precision-cut natural gemstones in a strictly uniformed and digitally calibrated array of colours, proportions and sizes. It delivers a wide range of natural gemstones to fine jewellers, watchmakers and luxury trade professionals throughout the world.

Exclusivity and Supply Agreement

In addition to appointing Royal Touch as a Sightholder, the Company has also entered into an Exclusivity and Supply agreement with it in respect of its fully heated green sapphires. Under the terms of the agreement, Capricorn Sapphire are now supplying Royal Touch with all of the Company's heated green sapphires on an exclusive basis for the majority of the size fractions. The sapphires are heated at Capricorn's beneficiation facility in Thailand. As part of the agreement, the company is also guaranteeing Royal Touch a minimum monthly supply of heated green sapphires to enable Royal Touch to commit to the marketing and market development of such unique and exceptional coloured sapphires.

More information on, and contact details for both, China Stone and Royal Touch will shortly be available on Richland's website at www.richlandresourcesltd.com.

Bernard Olivier, Chief Executive Officer of Richland, commented:

"I am delighted to announce the appointment of China Stone and Royal Touch as our first Sightholders for Capricorn Sapphire and the exclusivity and supply agreement with Royal Touch. We look forward to taking our ethically-mined, fully-complaint and conflict-free sapphires to the world's markets through these and similar partnerships going forward."

For more information please contact:

 
 Bernard Olivier          Edward Nealon       Mike Allardice 
  Chief Executive          Chairman            Group Company Secretary 
  Officer                  [phone]     [phone] 
  [phone] 
 
 Laurence Read            Nominated Adviser   Broker 
  Corporate Development    Strand Hanson       Shore Capital Stockbrokers 
  and Communications       Limited             Limited 
  Officer                  James Harris        Jerry Keen (corporate 
  [phone]          Matthew Chandler    broking) 
  9923                     James Dance         Toby Gibbs / Mark 
                           [phone]     Percy (corporate 
                           3494                finance) 
                                               [phone] 
                                               4090 
 

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014.

Further information is available on the Company's website: www.richlandresourcesltd.com. Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

The online retail division, www.richlandgemstones.com, was re-launched in H1 2016 and currently features a growing range of unique, exotic, fancy coloured sapphires directly from the Capricorn mining operation as well as tanzanite sourced through the Company's ongoing connections and industry relationships following the historic sale of its tanzanite mine.

This information is provided by RNS

The company news service from the London Stock Exchange

END

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June 27, 2017 02:01 ET (06:01 GMT)