(Alliance News) - Cadence Minerals PLC on Monday said its investee Macarthur Minerals Ltd has acquired more land at the Lake Giles iron project in Western Australia.
Macarthur, which Cadence has a 7.4% stake in, purchased a "substantial package of land" from mineral explorers Arrow Minerals Ltd for the development of site infrastructure at the asset. The 49.5 square kilometres of land is adjacent to the Moonshine magnetite deposit at Lake Giles.
Cadence said: "The tenure will be used for constructing supporting infrastructure including waste rocks dumps, processing plant, camp, airstrip and a tailings storage facility."
Macarthur will part with an initial USD250,000 in cash before issuing Arrow with USD250,000 worth of its shares in six months. The shares will be issued at a 20% discount to the five-day volume-weighted average price prior to the issue.
Cadence Minerals shares were trading 10% lower at 6.78 pence each in London on Monday afternoon.
By Eric Cunha; ericcunha@alliancenews.com
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Cadence Mineral (KDNC)