9th Jan 2015 15:19
LONDON (Alliance News) - Metal Tiger PLC Friday said its previously reported talks over the exploration project subject to a 30-day exclusive zero-cost option are no longer exclusive.
On October 9, 2014, the natural resources investing company entered into an option arrangement for an exploration licence covering a licensed area in north west Spain, under which it was able to acquire an 80% joint venture stake in the project.
After completing due diligence, however, Metal Tiger said in December that it had opted against exercising a previous 60-day option and entering the joint venture with Qbis Resources SL, a private Spanish company, and Diversified Asset Holdings Pty Ltd, a private Australian company, under the original terms, which included issuing new shares at 1.25 pence each. Instead, it agreed the 30-day exclusive option to negotiate new joint venture terms.
The exploration licence, named Treparriscos 3 No 6.858, covers an area of 2,987 hectares in northwestern Spain that is prospective for gold, tin and tungsten, according to Metal Tiger.
The 30-day exclusive period has concluded but Metal Tiger said it is "not yet entirely satisfied" with the terms proposed.
Discussions continue on a non-exclusive basis, Metal Tiger said, adding that it will issue an update if negotiations reach terms acceptable to Metal Tiger.
"The Navasfrias Project is one of a number of Spanish projects under review currently and the company intends to finalise an agreement on one of its targets in the near term," Cameron Parry, chief executive, said in a statement.
"In addition to Spain, Metal Tiger is considering other precious metal project investment opportunities in Europe, Africa and South East Asia," Parry added.
Metal Tiger shares were down 5.6% at 0.850 pence on Friday afternoon.
By Samuel Agini; [email protected]; @samuelagini
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