9th Jun 2014 07:42
LONDON (Alliance News) - Alba Mineral Resources PLC Monday said Teck Ireland Ltd has withdrawn from the two companies' joint venture on the Limerick Licence in Ireland, but Alba still plans to renew the licence.
The exploration company, with uranium operations in Mauritania and zinc development operations in Ireland, said it has received notice from Teck that it plans to withdraw from a joint venture which the parties entered into during December 2011.
As part of the joint venture agreement, Teck had the option to earn a 75% interest in the Limerick project by committing to funding of USD400,000 over a maximum four year period, which was expected to have reached USD300,000 by June 30 this year, according to the original joint venture agreement.
In 2012, four drill holes were drilled by Teck at the licence. Results from the drilling included a 6 metre space of pyrite, or fools gold, and a 2 metre mineralised interval including 0.575% zinc and trace amounts of lead at the TC-3841-3 hole.
Despite the decision by Teck, Alba Mineral Resources says it still sees merit in holding the Limerick licence and has made an application to the relevant Irish authorities to renew the licence for a further two-year period.
Alba Mineral Resources shares were up 3.9% at 0.322 pence during early trading on Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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