Last checked at 21 Jul 2016 07:00
21 July 2016
Strategic Minerals plc
("Strategic Minerals" or the "Company")
Strategic Minerals Settles Rail Claim
Strategic Minerals plc (AIM: SML; USOTC: SMCDY), the diversified mineral development and production company, is pleased to announce that it has accepted a settlement offer in relation to its claim pertaining to rail works for the Cobre Mine in the USA, of US$675,000, to be paid in instalments of $100,000 in August 2016, $400,000 in January 2017 and $175,000 in June 2017.
Strategic Mineral's Managing Director, John Peters, said:
"The settlement reflects management's belief that it had a valid claim in relation to rail access during the period it shipped magnetite internationally. As with any dispute, the process to arrive at the settlement has taken up considerable management and legal resources and I would like to acknowledge the work of our team on this. In particular, Clovis Hooper, CEO of our subsidiary Southern Minerals Group, our CFO Julien McInally and our legal counsel Daniel Jaffe of Slover & Loftus LLP.
The result is excellent for the Company providing it with "non-dilutive" funds with which to complete its plans."
For further information, please contact:
Strategic Minerals plc John Peters Managing Director
| +61 (0) 414 727 965 |
Allenby Capital Limited Nominated Adviser and Joint Broker John Depasquale Jeremy Porter James Reeve
| +44 (0)20 3328 5656 |
Cornhill Capital Limited Joint Broker James Sheehan Colin Rowbury
| +44 (0)20 3700 2516 |
Yellow Jersey PR Financial PR Dominic Barretto Alistair de Kare-Silver | +44 (0) 7825 916 715 |
Notes to Editors
Strategic Minerals Plc is an AIM-quoted, diversified mineral development and production company with projects in the United States of America and Australia. The Company is focused on acquiring and developing cash generative, high quality projects that meet local market demand for commodities and utilising this cash flow to undertake value added exploration.
In September 2011, Strategic Minerals purchased its first cash generating asset; the Cobre magnetite tailings dam project in New Mexico, USA which it brought into production in 2012 and which continues to provide a revenue stream for the Company. The portfolio was expanded in January 2016 with the acquisition of shares in Central Australian Rare Earths Pty Ltd, which holds tenements in Western Australia and the Northern Territory that are prospective for nickel sulphides, platinum and rare earths. Strategic Minerals has completed drill testing of the highest priority nickel sulphide targets within the tenements, having successfully intersected nickel sulphide. In May 2016, the Company also entered arrangements to buy up to 50% of the Redmoor tin/tungsten exploration project in Cornwall, UK.