Anglo Pacific looks to tap into Aussie iron ore project
FTSE 250 natural resources royalties company Anglo Pacific has agreed to a proposal to buy 50% of Red Rock Resources' Mount Ida iron ore royalty for $14m.
FTSE 250 natural resources royalties company Anglo Pacific has agreed to a proposal to buy 50% of Red Rock Resources' Mount Ida iron ore royalty for $14m.
The Mount Ida magnetite project is located in Western Australia and is currently being developed by Jupiter Mines Limited. On January 19th 2011, it was estimated that the project had a maiden JORC-compliant inferred resource of 530m tonnes at a grade of 31.94% Fe.
Meanwhile, a scoping study completed in March identified an operation that would produce 10m tonnes per annum of magnetite concentrate grading over 68% Fe. "A feasibility study is underway for completion by the end of this year," Anglo Pacific said.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Red Rock Resources owns a 1.5% gross revenue royalty (GRR) in the project, 0.75% of which Anglo Pacific has proposed to buy through this acquisition.
The acquisition will be paid in three instalments by way of cash and Anglo Pacific shares.
BC
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
Higher rates are disappearing – should you fix your savings?
Fixed savings rates have dropped to their lowest levels in over a year. Should you fix your savings now ahead of a potential base rate cut in November?
By Katie Williams Published
-
Nine million people fall victim to financial scams, says Citizens Advice
The charity says that around one in five people across the UK have been caught out by a finance scam in the past year - here is how to protect your money
By Chris Newlands Published