(Alliance News) - Rockfire Resources PLC has applied to the UK government's Office of Financial Sanctions Implementation for an exemption license relating to the cancelled purchase of shares in Emirates Gold DMCC and Emperesse Bullion LLC.
Rockfire, a mineral exploration company based in London, seeks the return of USD2 million paid as the initial consideration for a 10% shareholding in Emirates Gold and Empresse Bullion.
Early last month, the UK Foreign, Commonwealth and Development Office imposed a sanction on the vendor for Emirates and Emperesse, Paloma Precious DMCC, as part of wider effort to prevent Russia from dodging the impact of international sanctions.
Rockfire later withdrew from the conditional share purchase agreement to acquire Emirates and Emperesse. However, at the time of the sanction, the transfer of 10% shareholding in both companies had not been completed.
As a result, Rockfire is now requesting the transfer of shares in Emirates and Emperesse to be suspended, thereby granting Paloma permission to return the USD2 million consideration to Rockfire.
Paloma has agreed to return the USD2 million consideration. However, this request will be subject to the OFSI granting an exemption licence.
Rockfire considers that there is '"no reason why the exemption licence should not be granted." However, the company also stated that it is unable to "provide any certainty" that this will be ultimately granted by the OFSI, but will "continue to keep the market informed of any progress on this."
Rockfire's share price was up 3.0% to 0.21 pence each in London on Monday afternoon
By Hugh Cameron, Alliance News reporter
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