Anglo Pacific Group Plans to Acquire 50% of Ida Iron Ore Property

Anglo Pacific Group plc (TSX:APY,LSE:APF) announced it has agreed to a proposal with Red Rock Resources plc (LSE:RRR) to acquire 50% of Mount Ida.

As quoted in the press release:

The acquisition will total US$14 million paid in three instalments as follows:

• Tranche 1: US$6 million on completion and agreement of the terms of the transaction, for a 0.3% GRR.
• Tranche 2: US$4 million payment for a further 0.225% GRR following the results of a positive definitive feasibility study (DFS), a formal decision to mine and that 20% of the pre-production capital costs outlined in the DFS are provided for.
• Tranche 3: US$4 million for a further 0.225% GRR following the commencement of commercial production, taking the total to 0.75% GRR.

Click here to read the Anglo Pacific Group plc (TSX:APY) press release.