15 May 2012 10:31
Red Rock Resources plc
Resource Star Limited - Acquisition of balance of Livingstonia Uranium Project
Date: 15 May 2012
Red Rock Resources plc ("Red Rock" or the "Company"), a mining and exploration company with a producing gold mine in Columbia; Kenyan gold and Greenland iron ore exploration projects; and interests in steel feed, uranium and rare earths, announces that its 40.32% owned associate company, Resource Star Limited (ASX:RSL)("RSL"), is to acquire the 80% of the Livingstonia Uranium Project in Malawi not already owned.
RSL has already earned a 20% equity interest from Globe Metals and Mining Limited ("Globe") under the farm in joint venture announced in March 2010. Globe will at the same time acquire the remaining 80% not owned of the Machinga Niobium-Rare Earth Project from RSL. RSL and Globe will grant each other a gross revenue royalty interest of 0.7% for Machinga and 1% for Livingstonia. There is no cash component to the transaction.
The Livingstonia Uranium Project includes a JORC compliant Inferred Mineral Resource of 8.3 million tonnes averaging 325ppm eU3O8 for a contained 6 million pounds of eU3O8 at a cut-off grade of 150ppm.
The transaction will simplify RSL, enable it to concentrate on a uranium property with scope for resource expansion that it believes to be an attractive asset, and enhance its operational and strategic flexibility.
Further information on the Acquisition can be found here:
http://www.rns-pdf.londonstockexchange.com/rns/3571D_-2012-5-15.pdf
Enquiries:
Andrew Bell | 020 7402 4580 or 07766 474849
| Red Rock Resources plc | Chairman
|
Sandra Spencer | 020 7402 4580 or 07757 660 798
| Red Rock Resources plc | Public and Investor Relations |
Philip Davies/David Porter | 020 7444 0800 | Religare Capital Markets | Nominated Adviser
|
Nick Emerson | 01483 413500 | Simple Investments Ltd | Broker |
About Resource Star Ltd
RSL is a publicly-listed Australian company whose principal interests are uranium and associated specialty metals in Malawi, the Northern Territory, Western Australia and Tasmania.
RSL's main projects are the Livingstonia Uranium Project in Malawi, the 100% owned Edith River Uranium Project in the Northern Territory and the Spinifex joint venture with Thundelarra Resources in Western Australia.