LONDON (Alliance News) - Keras Resources PLC on Tuesday said it has entered into a pre-payment agreement with Australian gold miner Norton Gold Fields Ltd for all gold ore delivered to Norton's Paddington Mill.
The UK-listed miner said the agreement will expedite 80% of the total payment to Keras.
Under the terms of the deal, ore from Keras will be stockpiled at the Paddington site and the price paid for all recovered ounces will be fixed to the close of business on the first day of gold pour following full delivery of all ore to Paddington.
The ore is being delivered from Keras's Accord deposit, located in the Grants Patch gold tribute lease area in Western Australia.
"We are pleased to announce the conclusion of our positive discussions regarding the pre-payment agreement with Norton. Under our agreement with Norton, we are due payment within 42 days which was agreed to allow for all lab testwork on moisture content, recoveries and grade to be completed," said Keras Managing Director Dave Reeves.
Keras shares were up 3.0% to 1.26 pence on Tuesday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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Keras Res (KRS)