Extension of Agreement to sell Interest in JV

RNS Number : 3671X

Galileo Resources PLC

28 August 2015

 



                                                                                                         

  7.00am  28 August 2015

Galileo Resources Plc

("Galileo" or the "Company") 

Extension of Agreement in Respect of Potential Sale of Interest in Joint Venture

Galileo (AIM: GLR), the exploration and development mining company, announces that it has agreed to a request from joint venture partner Fer‐ Min‐Ore Proprietary Limited ("Fer‐Min‐Ore"), to extend the completion of the conditional Sale Agreement until 28 February 2016. The commercial terms of the extended Sale Agreement ("Proposed Transaction"), pursuant to which the Company has offered to sell ("Offer") and Fer-Min-Ore ("Purchaser") has offered to 
purchase all the Company's rights, title, interest and shares in the capital of Glenover Phosphate Proprietary Limited ("Glenover") for a purchase consideration
of US$4 million, subject to financing, are unchanged (as originally announced on 28 January 2015 and further extended on 11 May 2015).  

The Offer remains subject to:

a.    the Proposed Transaction being completed within six month of the granting of this extension commencing on the 29^th August 2015; and

b.    to the extent required, approval of the Proposed Transaction by relevant regulatory bodies, including, but not limited to, any approvals required from the Department of Minerals and Energy (South Africa) or other relevant regulatory authority in terms of section 11 of the Mineral and Petroleum Resources Development Act 28 of 2002.

                               Colin Bird Chairman said:" During the previous option period significant work was
                               carried on certain process fundamentals in order to guarantee process recoveries and      
                               consistency. In order to fully satisfy process due diligence further work will be required
                               and this is expected to be carried out during the extension period."

Further details of Glenover and its rare earth and phosphate project are available from the Company's website, as well as a copy of this announcement: www.galileoresources.com

You can also follow Galileo on Twitter: @GalileoResource

For further information, please contact:
Colin Bird Chairman	Tel [phone]
Andrew Sarosi, Technical Director	Tel [phone]
Beaumont Cornish Limited - Nomad Roland Cornish/ James Biddle	Tel [phone]
Beaufort Securities Limited ‐ Joint Broker Elliot Hance	Tel [phone]
Daniel Stewart & Co ‐ Joint Broker David Coffman/Martin Lampshire	Tel + 44 (0) 20 7776 6596

 

END

 

 

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