• Connect with us
    • Information
      • About Us
      • Contact Us
      • Careers
      • Partnerships
      • Advertise With Us
      • Authors
      • Browse Topics
      • Events
      • Disclaimer
      • Privacy Policy
    • NORTH AMERICA EDITION
      Australia
      North America
      World
    Login
    Investing News NetworkYour trusted source for investing success
    • NORTH AMERICA EDITION
      North America
      Australia
      World
    • My INN
    Videos
    Companies
    Press Releases
    Private Placements
    SUBSCRIBE
    • Reports & Guides
      • Market Outlook Reports
      • Investing Guides
    • Button
    Resource
    • Precious Metals
    • Battery Metals
    • Base Metals
    • Energy
    • Critical Metals
    Tech
    Life Science
    Australia Market
    Australia News
    Australia Stocks
    • Australia Market
    • Australia News
    • Australia Stocks
    1. Home>
    2. Australia Investing>
    Loading...
    0

    MinRes Scoops Up Parker Range Iron Ore Project

    Olivia Da Silva
    Aug. 21, 2019 02:55PM PST

    Despite a prior agreement with Gold Valley, Mineral Resources has swooped in with a bid for Cazaly Resources’ Parker Range iron ore project.

    MinRes Scoops Up Parker Range Iron Ore Project

    Despite a prior deal with Gold Valley, Mineral Resources (MinRes) (ASX:MIN,OTC Pink:MALRY) has swooped in with a bid for Cazaly Resources’ (ASX:CAZ) Parker Range iron ore project.

    In early June, Cazaly entered a conditional agreement with Gold Valley to sell its wholly owned subsidiary, Cazaly Iron, which holds Parker Range’s tenements.


    The agreement laid out an initial three month due diligence exclusivity period, but gave Cazaly the right to terminate the plan if a more favorable offer arose.

    With the three month mark just a few weeks away, MinRes has now put forward a binding heads of agreement (HOA) proposal for Parker Range. The offer lays out a AU$20 million cash payment, along with a AU$0.50 royalty for each dry metric tonne (dmt) of iron ore extracted and removed from Parker Range after the first 10 million dmt.

    According to Cazaly, the fresh offer from MinRes is considered more favorable to both the company and its shareholders. As such, the exclusivity period with Gold Valley has been terminated.

    While the agreement with Gold Valley is still in place, Cazaly is now evaluating the offer from MinRes and deciding its next steps going forward. Should Cazaly terminate its agreement with Gold Valley entirely, it will have to pay a AU$250,000 break fee.

    The HOA is conditional upon MinRes being satisfied with due diligence investigations at Parker Range, the approval of both companies’ boards and the companies receiving all necessary consents and approvals from government officials, all within 21 days of the agreement’s execution. Additionally, if needed, Cazaly must acquire approval from shareholders to sell the project.

    Funds from the potential sale are anticipated to go towards working capital, expanding exploration activities on current projects and seeking new project opportunities.

    Gold Valley has not yet publicly responded to the shakeup for its Parker Range bid.

    Parker Range hosts a proven and probable ore reserve of 31.4 million tonnes and targets an iron ore fines product that grades 56.4 percent iron, 0.02 percent phosphorus, 6 percent silicon dioxide and 2.5 percent aluminum oxide.

    As a convenient perk for MinRes, Parker Range is situated approximately 85 kilometers from the company’s Koolyanobbing iron ore operation in Western Australia’s Yilgarn region.

    At the end of trading on Wednesday (August 21), Cazaly’s share price had skyrocketed 80 percent to reach AU$0.045. Meanwhile, MinRes took a small hit when it fell 2.17 percent to close at AU$13.51.

    As of 5:06 a.m. EDT on Wednesday, iron ore prices were down 2.18 percent to US$92.01 per tonne.

    Don’t forget to follow us @INN_Resource for real-time news updates.

    Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.

    The Conversation (0)

    Go Deeper

    AI Powered
    Top 5 Australian Mining Stocks This Week: Vanadium Resources Soars on DSO Offtake Deal

    Top 5 Australian Mining Stocks This Week: Vanadium Resources Soars on DSO Offtake Deal

    Salt flats with text overlay: "5 Top Australian Mining Stocks This Week."

    Top 5 Australian Mining Stocks This Week: Argosy Climbs 89 Percent on Rincon Lithium Spot Contract

    Olivia Da Silva

    Olivia Da Silva

    A graduate of Durham College's broadcast journalism program, Olivia has a passion for all things newsworthy. She got her start writing about esports (competitive video games), where she specialized in professional Call of Duty coverage. Since then, Olivia has transitioned into business writing for INN where her beats have included Australian mining and base metals.

    Latest News

    Quarterly Cashflow Report - June 2025

    Quarterly Activities Report - June 2025

    Quarterly Activities Report and Appendix 5B

    Quarterly Activities/Appendix 5B Cash Flow Report

    BPH Energy Limited Quarterly Activities Report

    More News

    Outlook Reports

    Resource
    • Precious Metals
      • Gold
      • Silver
    • Battery Metals
      • Lithium
      • Cobalt
      • Graphite
    • Energy
      • Uranium
      • Oil and Gas
    • Base Metals
      • Copper
      • Nickel
      • Zinc
    • Critical Metals
      • Rare Earths
    • Industrial Metals
    • Agriculture
    Tech
      • Artificial Intelligence
      • Cybersecurity
      • Gaming
      • Cleantech
      • Emerging Tech
    Life Science
      • Biotech
      • Cannabis
      • Psychedelics
      • Pharmaceuticals

    Featured Australia Investing Stocks

    More featured stocks

    Browse Companies

    Resource
    • Precious Metals
    • Battery Metals
    • Energy
    • Base Metals
    • Critical Metals
    Tech
    Life Science
    MARKETS
    COMMODITIES
    CURRENCIES
    Ă—
    Olivia Da Silva
    Olivia Da Silva

    A graduate of Durham College's broadcast journalism program, Olivia has a passion for all things newsworthy. She got her start writing about esports (competitive video games), where she specialized in professional Call of Duty coverage. Since then, Olivia has transitioned into business writing for INN where her beats have included Australian mining and base metals.

    Full Bio

    Learn about our editorial policies.