Posted on 24 Nov 2022
Australian metal explorer Oar Resources has concluded the sale of its Bramfield iron ore project in South Australia to Dragon Resource Investment (DRI), a subsidiary of Vietnamese steelmaker Hoa Phat Group, for an all-cash settlement of AUD 440,000 ($292,254), Kallanish notes.
The sale was subject to the successful excise of the exploration area comprising the Bramfield iron ore project by conditional surrender from the company's exploration Licence 6558, and the consequent issue to DRI of a new exploration licence covering the Bramfield iron ore project.
Due to Covid and other factors impacting the state regulator, there were several delays in granting the new licence. As a result, the parties have agreed to a slight discount on the originally agreed price to conclude the sale in a timely manner.
The Bramfield iron ore project had previously been written down by Oar Resources to nil value while the company refocused efforts on its critical minerals portfolio.
"We are pleased to conclude the cash sale of this asset and bolster our cash position to further fund exploration of our core projects," Oar Resources chief executive officer Paul Stephen says.
“That includes further evaluation of our newly acquired Denchi lithium project. A field team is heading to site this week to investigate multiple pegmatite outcrops across the project area as part of an aggressive exploration campaign," he adds.
Source:Kallanish
