25th Feb 2016 10:10
LONDON (Alliance News) - Herencia Resources PLC said it has adjourned an upcoming general meeting that had been convened to vote on the sale of its Chilean subsidiary for Friday to March 24, as it has received notice two major shareholders are not in support of its deal with Next Minerals "in is current form."
At the beginning of this month the company said it had struck a deal with Chilean mining company Next Minerals as a partner on its Picachos and Pasitzal copper projects, under which Next Minerals could potentially acquire 100% of Herencia Resources (Chile) SA, the subsidiary that holds the projects.
Additionally, Herencia had warned that it had around one month of working capital. It is currently negotiating a potential funding facility to provide it with funds to meet its short term cash requirements, but can't provide a guarantee it will be able to agree a funding facility. It said that negotiations with one of the major shareholders to provide a short term facility are well advanced.
Shares in Herencia were down 8.4% at 0.0229 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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