Strategic Minerals PLC Update on Acquisition of Leigh Creek Copper Mine (9034B)

TIDMSML

RNS Number : 9034B

Strategic Minerals PLC

15 January 2018

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

15 January 2018

Strategic Minerals plc

("Strategic Minerals" or "the Company")

Update on Acquisition of Leigh Creek Copper Mine

Strategic Minerals plc (AIM: SML; USOTC: SMCDY), the diversified mineral development and production company, wishes to inform the market that the exchange of contracts and hence settlement of the acquisition of Leigh Creek Copper Mine has been delayed by a combination of the December holiday period and the need to satisfy a number of conditions precedent associated with the purchase being of an existing company, inclusive of mineral rights. It is anticipated that binding contracts will be exchanged in the coming weeks and settlement will occur once all conditions precedents are met. Notably, while it is intended to undertake the purchase through the Company's 100% owned subsidiary, Ebony Iron Pty Ltd, the transaction will still need to be cleared by the Australian Foreign Investment Review Board.

Management and the Board consider the conditions precedents to be primarily administrative and have been working with the vendors, Resilience Mining Australia, to exchange and complete on the sale and purchase agreement as soon as possible.

Commenting, John Peters, Managing Director of Strategic Minerals, said:

"Time taken to complete necessary legal due diligence and the impact of the Christmas period have combined to delay the exchange of contracts for the acquisition of Leigh Creek Copper Mine. We have no concerns about completing the transaction but want to ensure that all procedures are completed properly to reduce risk to the Company."

For further information, please contact:

 
 
                                  +61 (0) 414 
 Strategic Minerals plc             727 965 
 John Peters 
 Managing Director 
 www.strategicminerals.net 
 
 Follow Strategic Minerals on: 
 Vox Markets:                     https://www.voxmarkets.co.uk/company/SML/ 
 Twitter:                         @SML_Minerals 
 LinkedIn:                        https://www.linkedin.com/company/strategic-minerals- 
                                   plc 
 Facebook:                        https://www.facebook.com/search/top/?q=strategic%20m 
                                   inerals%20plc 
 
                                   +44 (0)20 
 SP Angel Corporate Finance LLP     3470 0470 
 Nominated Adviser and Broker 
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 Charles Goodwin                    788 221 
                                   +44 (0)7880 
 Julia Kalcheva                     318 276 
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 Henry Wilkinson                    402 336 
 
 
Notes to Editors 
 
 Strategic Minerals Plc is an AIM-quoted, diversified 
 mineral development and production company with 
 projects in the United States of America, the 
 UK and Australia. The Company is focused on acquiring 
 and developing cash generative, high quality projects 
 which 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 cobalt, gold, nickel sulphides 
 and rare earth elements. The Company has since 
 acquired all shares in Central Australian Rare 
 Earths Pty Ltd. In May 2016, an additional exploration 
 asset was acquired when the Company entered into 
 an agreement with New Age Exploration Limited 
 to acquire up to 50% of the Redmoor Tin/Tungsten 
 project in Cornwall, UK. This 50% acquisition 
 has now been completed and drilling at the project 
 has commenced. The Company is also currently in 
 the process of settling the acquisition of the 
 Leigh Creek Copper Mine situated in the copper 
 rich belt of South Australia. 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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January 15, 2018 07:53 ET (12:53 GMT)