Red Rock and Anglo Pacific have big Ida

Mining firm Red Rock Resources and commodities investor Anglo Pacific have cemented their royalty revenue agreement over the Mount Ida iron ore project in Australia.

The deal will see Anglo Pacific acquire 0.75% of royalties from the project in which Red Rock holds a 1.5% interest.

It's set to cost Anglo $14m but paid in three tranches. It's the first tranche which has been settled today.

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The investment firm will hand Red Rock US$3,899,999.81 in cash and allot it 416,161 in new shares worth US$2,139,730 on the basis of last night's closing price.

Anglo Pacific fell 1.9% on the announcement as investors mulled the share dilution while Red Rock gained 1.15%.

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