Tri-Star Resources Plc Sale of first Antimony and Update

 
TIDMTSTR 
 
Tri-Star Resources PLC / AIM: TSTR / Sector: Natural Resource 
 
 
13 May 2020 
 
             Tri-Star Resources plc ("Tri-Star" or the "Company") 
                       Sale of first Antimony and Update 
 
 
Tri-Star Resources plc (AIM: TSTR), the minerals processing company, announces 
an update on its investment in Strategic & Precious Metals Processing LLC 
("SPMP"), an antimony and gold production facility in the Sultanate of Oman in 
which the Company holds a 40% equity interest. The other joint venture partners 
are The Oman Investment Fund Holding Company LLC ("OIF") (40% equity holder) 
and DNR Industries Limited, part of Dutco Group in Dubai (20% equity holder). 
 
First sale of Antimony 
SPMP has sold and on 6 May SPMP shipped its first consignment of antimony 
comprising 60 tonnes of antimony metal ingots. This is an important step in the 
ramp-up of operations at SPMP.  The management of SPMP expects the plant to be 
operating at 50% of capacity by the end of Q2 2020 and 100% by the end of the 
year. 
 
Update on COVID-19 
Following the diagnosis of an employee operating in the roaster section of the 
plant having tested positive for COVID-19, SPMP executed its COVID-19 
mitigation protocol successfully in accordance with Ministry of Health's 
published guidelines.  In accordance with these guidelines, a number of 
employees have been placed in isolation for a period of 14 days, which will 
have a consequent short-term impact upon production.  SPMP's management is 
developing a plan to resume production on the roaster on a limited basis with 
the personnel allowed to remain on site. 
 
Financing 
As announced on 8 April 2020, SPMP is continuing its discussions with local 
banks to provide a USD60m term loan facility who expressed an interest in 
providing a working capital facility of up to USD45m (out of a total required 
of USD 60m, as announced on 3 January 2020) subject to meeting certain 
criteria.  It should be noted, however, that until such facilities are agreed, 
the future financing of SPMP remains uncertain. 
 
Arbitration 
As also announced on 8 April 2020, OIF has issued a Request for Arbitration, 
commencing an arbitration proceeding with Tri-Star, DNR and SPMP as 
Respondents.   A Sole Arbitrator has now been appointed but has yet to make 
contact with the parties. 
 
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. 
 
 
                                   **ENDS** 
 
 
For further information, please visit www.tri-starresources.com or contact: 
 
Tri-Star Resources plc                                              c/o SBP 
David Facey, CEO/ CFO                              Tel: [phone] 
 
St Brides Partners (Financial PR) 
Isabel de Salis / Beth Melluish                    Tel: [phone] 
 
SP Angel Corporate Finance (Nominated 
Adviser) Jeff Keating/ Caroline Rowe               Tel: [phone] 
 
finnCap Ltd (Broker) 
Scott Mathieson / Camille Gochez                   Tel: [phone] 
 
 
 
 
Notes to Editors: 
 
Tri-Star's principal interest is in an antimony and gold production facility 
(the "SPMP Project"). The SPMP Project is based in Sohar, Sultanate of Oman, 
and is being developed by Strategic & Precious Metals Processing LLC ("SPMP"), 
an Omani company in which Tri-Star has a 40% equity interest. 
 
 
 
END 
 

(END) Dow Jones Newswires

May 13, 2020 02:00 ET (06:00 GMT)