28th Jul 2014 09:36
LONDON (Alliance News) - Frontier Mining Ltd Monday said that it has received approval from the Ministry of Industry and New Technology of the Republic of Kazakhstan to proceed with the sale of its Naimanjal licence area to Union Transnationale Miniere SA.
Regulatory approval comes after the AIM-listed copper production, exploration and development company in March unveiled an agreement to sell subsidiary FML Kazakhstan LLP, the owner of the Naimanjal licence area, to UTM for USD30 million in cash.
Frontier Mining expects to use the proceeds to repay maturing debt and to finance capital expenditure for the ramp up of copper production at Benkala to maximum levels.
A further announcement will be made once completion of the sale has taken place.
Frontier Mining shares were Monday up 15% at 0.920 pence.
By Samuel Agini; [email protected]; @samuelagini
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