2nd Oct 2014 07:24
LONDON (Alliance News) - Xtract Resources PLC Thursday said it has agreed to sell the Mejillones phosphate deposit to Mines Global for GBP400,000, as it looks to focus on building the Chepica Gold-Copper mine into a profitable mining operation.
The payment will be made in two tranches. The first tranche, amounting to GBP250,000, is payable within 14 days of signature date, while the balance is payable upon the transfer of all the licences representing the project to a local subsidiary of MG in Chile.
Xtract Resources completed the acquisition of the Chépica Gold & Copper Mine and the Mejillones Phosphate project in Chile in February 2014.
"The additional funds strengthen our financial position at a time of increased activity as we work towards achieving peak production at Chepica," Chief Executive Jan Nelson said in a statement.
Xtract shares were up 17% at 0.199 pence early Thursday, one of the best-performing stocks on the AIM All-Share index.
By Samuel Agini; [email protected]; @samuelagini
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