AIM-quoted natural resources specialist Rose Petroleum PLC (LON:ROSE) has made a major breakthrough in its bid reclaim US$760,000 of value added tax from the Mexican authorities.
It announced on Friday it has received the first tranche, US$72,100, and expects to bank US$210,000 by the end of the month.
Chief executive Matthew Idiens said: "We are now seeing some real progress in the recovery of these outstanding funds.
“I am confident that this is just the start of the process of the total resolution of this matter and I hope to see further recoveries, in the near-term.”
The windfall will help strengthening the firm’s cash reserves ahead of the grant of a permit to shoot 3D seismic on its oil property in Utah.
It is also in talks to sell its gold milling operation in Mexico for up to US$1.5mln.