Acquisition of Diamond Resources

RNS Number : 9036M

BlueRock Diamonds PLC

26 January 2016

 

BlueRock Diamonds PLC ("BlueRock" or "the Company")

26 January 2016

Acquisition of Diamond Resources

Following the announcement made on 16 December 2015 the Company is pleased to announce that it has approved the purchase of Diamond Resources pty Limited ("Diamond Resources") from Tawana Resources NL ("Tawana"). The Company has also purchased an intercompany loan of ZAR 21.5m owed by Diamond Resources to Tawana which is expected to be eliminated on consolidation in the Company's accounts. The total consideration for the shares in Diamond Resources and loan is ZAR 0.7m.

Diamond Resources is a non-trading company which holds the rehabilitation guarantee required by the Department of Mineral Resources in South Africa in relation to Kareevlei in addition to some speculative exploration assets in the Northern Cape. 

Diamond Resources had a net deficit as at 31 December 2014 of ZAR 21.3m primarily as a result of the intercompany loan noted above. Diamond Resources made a profit of ZAR 1.2m in the year ended 31 December 2014 largely as a result of the mining right sold to BlueRock during that year.

Enquiries:
BlueRock Diamonds plc Riaan Visser, CEO www.bluerockdiamonds.co.uk [phone]	SP Angel Corporate Finance LLP Nominated Adviser & Broker David Facey / Stuart Gledhill [phone]

 

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