logo-loader
viewCadence Minerals PLC

Cadence Minerals’ investee company, Auroch Minerals, terminates Alcoutim joint venture agreement

An application to renew the prospecting licence at the copper-zinc project in Portugal was submitted on time but it is yet to be granted, so Auroch has decided to shift its focus to its other projects

coppre ore
As part of the termination, Auroch is entitled to the cash in the JV’s bank plus a 1% royalty on any minerals mined at the project

Cadence Minerals PLC’s (LON:KDNC) investee company Auroch Minerals has terminated its joint venture agreement at the Alcoutim copper-zinc project in Portugal.

Aussie-listed Auroch said it fulfilled all obligations required by the agreement but delays in renewing the prospecting licence, the application for which was submitted on time, means it has chosen to terminate the agreement.

READ: Cadence Minerals pleased with rapid progress at Macarthur Minerals

As part of the arrangement, Auroch is entitled to the remaining cash in the bank plus anything raised through the sale of the joint venture’s assets.

Bolt – the name of the JV company – will also grant Auroch a royalty of 1% of the net smelter return of any minerals mined under the licence up until the point where the total royalty payments equal €1mln.

“With the licence renewal not yet being granted, Auroch has elected to terminate the JV Agreement,” said chairman Glenn Whiddon.

“The company is now focussed on the recently acquired Arden and Bonventura Base-metals projects located in the world class mining region of South Australia.”

Shares in Cadence, which has a 7.7% stake in the zinc, cobalt and lithium explorer, fell 2.1% to 0.23p in mid-morning trade in London.

Quick facts: Cadence Minerals PLC

Price: 7.75 GBX

AIM:KDNC
Market: AIM
Market Cap: £8.17 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Things coming together nicely in Greenland, says Bluejay Mining's CEO

Rod McIllree, Bluejay Mining PLC’s (LON:JAY) chief executive, tells Proactive that all three of its projects in Greenland are shaping up nicely with plenty of interest from mining giants. Dundas is the flagship and here a bulk sample of mineral sands has been shipped to a Rio Tinto facility...

1 day, 7 hours ago

2 min read