7th Aug 2007 16:12
Red Rock Resources plc07 August 2007 RED ROCK RESOURCES PLC Completion of Sale of Orion Dated: 7 August 2007 Red Rock Resources plc ("Red Rock" or the "Company") the mineral exploration anddevelopment company focused on advancing iron ore, uranium and manganeseprojects in Australia and East/Southern Africa, announced on 9 May the proposedacquisition of Orion Exploration Pty Ltd ("Orion") its wholly owned uraniumexploration subsidiary and certain other uranium tenements by Retail StarLimited ("RSL") (the "Acquisition"). It was announced that RSL (ASX:RSL) a company listed on the AustralianSecurities Exchange had agreed Heads of Terms to acquire 100% of Orion, owner ofRed Rock's Australian uranium assets, and certain other uranium tenements. The Extraordinary General Meeting of RSL took place in Perth, Western Australiaon Monday 6 August 2007 and approved all the resolutions required to implementthe agreement between the Company and RSL. The acquisition by RSL of Orion andinterests in the other uranium interests has now been completed. The consideration for the Acquisition was AUS$1.5 million in cash. The cashconsideration was funded through Red Rock subscribing for 80 million fully paidordinary shares in RSL at AUS$0.015per share, 20 million options (with anexercise price of 2.5 cents each and an expiry date of 30 June 2008) at AUS$0.01per option and 20 million A Performance Shares in RSL which will convert intoordinary shares when the Celia tenement application in the Rum Jungle MineralField in the Northern Territory of Australia (ELA 24414) is transferred to RSL'snominee, issued at a subscription price of AUS$0.005 per A Performance Share.The Company also received, 30 million C Performance Shares in RSL which willconvert into ordinary shares when the legal and beneficial interest in theChintheche uranium exploration license in Malawi is transferred to RSL'snominee, issued for no consideration, and 30 million B Performance Shares in RSLwhich will convert into ordinary shares when a further mineral application inMalawi is granted and is transferred to RSL's nominee, issued for noconsideration. The 80 million ordinary shares of RSL currently held by the Company representcirca 15.6% of the issued ordinary share capital of RSL as enlarged by theAcquisition and are subject to a voluntary restriction for twelve months fromthe date of issue. Following a simultaneous placing of 37,500,000 new shares at AUS$0.015 by RSL,RSL currently holds approximately A$2.1 million in cash, part of which will beused to fund the further development of the tenements through a proposedexploration budget of AUS$225,000 in year one. At the close of trading on the Australian Stock Exchange on 7 August 2007 theRSL shares were trading at AUS$0.027 per share. The Company's Chairman, Andrew Bell, has been elected as Chairman and Directorof RSL, and Manoli Yannaghas has been appointed a Director of RSL. Further information on RSL may be obtained from the Australian Stock Exchangewebsite at: http://www.asx.com.au/asx/research/CompanyInfoSearchResults.jsp?searchBy=asxCode&allinfo=&asxCode=rsl&companyName=&principalActivity=&industryGroup=NO Enquiries: Andrew Bell 07766 474849 Red Rock Resources plc ChairmanJohn Simpson 020 7512 0191 ARM Corporate Finance Ltd Nominated AdviserRon Marshman / John Greenhalgh 020 7628 5518 City of London PR Limited Public Relations Updates on the Company's activities are regularly posted on Red Rock's website,www.rrrplc.com. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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