Galileo Resources PLC (AIM:GLR) said it has received its first royalties from the Star Zinc operation and also around £2.4mln from the sales of the Glenover phosphate assets.
Royalties from Star Zinc were US$118,000 from the first three shipments with a further US$460,000 expected subject to final weights and assays.
Colin Bird, Galileo’s chairman and chief executive, said: "This marks the start of earnings from the Star Zinc operation, which are progressing and will continue exporting more material.
“Our Kashitu operation will shortly be drilled with a view to a similar operation as Star Zinc but under Galileo's control for Galileo benefit other than 3rd party costs related to the Kashitu operation.
“I am pleased that the company has received the first distribution of approximately £2.4mln from the Glenover Asset Sale and look forward to the company potentially receiving approximately a further £470,000 from Glenover's conditional sale of its Vermiculite Mining Rights and £4.78mln if Afrimat exercises its option to acquire Glenover."
Galileo agreed to sell Glenover to Afrimat for around £11.46mln (ZAR 250mln) with the option to sell shares in Glenover for £14mln (ZAR 300mln).
AIM-quoted Galileo had a 29% direct interest in Glenover and an indirect 4.99% interest in the company held through a stake in Galagen, Glenover’s BEE partner.