(Alliance News) - Rambler Metals & Mining PLC on Friday said that its financial position remains uncertain, after it failed to deliver refined gold under its agreement with Elemental Altus.
Rambler is a Richmond, England-based, Canada-focused mining and development company. It owns the Ming Copper-Gold mine, a fully operational base and precious metals processing facility on the Baie Verte peninsula in Canada.
In March, Rambler announced a gold purchase and sale agreement with Elemental Altus, according to which it would make minimum gold deliveries of 1,200 ounces to Elemental in each of the first three years of the deal.
However, it said on Friday that is has not sold or delivered any refined gold for the quarters ended September 30 and December 31. As such, an event of default has occurred.
Rambler said it intended to enter discussions with Elemental in order to find a solution to the default. However, the company warned that there is no guarantee Elemental will agree to defer or reschedule the sale and delivery of gold, or interest due on the gold purchase and sale agreement, or the terms on which any deferral will be agreed.
Accordingly, the company's financial position remains uncertain.
Similarly, Rambler is in discussion with several groups as it seeks to restructure its finances. It didn't specify who those groups were.
Rambler shares were suspended from trading in October. They last traded on October 26 at 5.38 pence each.
By Holly Beveridge; Alliance News reporter
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