Business
Strategic Stake Purchased in Auroch Minerals
Strategic Stake Purchased in Auroch Minerals.
About this update from Cadence Minerals Plc
[{"type":"text","content":"\n \nRNS Number : 7721Q Rare Earth Minerals PLC 02 December 2016 \n\nRare Earth Minerals Plc\n(\"Rare Earth Minerals\" or \"REM\")\n \nStrategic Stake Purchased in Lithium Explorer Auroch Minerals\nLondon and New York listed Rare Earth Minerals Plc (AIM/ISDX: REM, OTC: REMMY), is pleased to announce that it has subscribed for 6.5 million new shares at AS$ 0.10 per share in Auroch Minerals Limited (\"Auroch\"), a company listed on the Australian ASX. \nHighlights:\n· Rare Earth Minerals has agreed to acquire 7.7% of in Auroch through a AS$650,000 share subscription\n· Auroch focusing current activities over five prospecting license, which have been applied for, in Namibia which are highly prospective for lithium\n· Auroch has a strong financial position: A$6.4 million in a cash and A$2 million in receivables\n· Auroch's balance sheet will be used to support an aggressive exploration programme targeting high-grade lithium deposits in Namibia\n \nAndrew Suckling, Executive Chairman of REM, commented:\n \n\"Rare Earth Minerals continues to deploy its expertise in identifying value investments in highly prospective lithium plays. We will leverage our mining, marketing, and lithium industry knowledge and experience to provide continuing support to Auroch, and to assist management and develop these prospects rapidly up the development curve. We look forward to a close collaboration with the management of Auroch as it develops its lithium interests.\"\n \nUse of Funds\n \nThe placing funds, along with Auroch's existing cash (combined $6.4 million) will be used in part to fund an aggressive exploration and development programme, targeting high-grade lithium in pegmatites, similar to those that have been successfully commercialised in western Australia over the last three years.\n \nAuroch is currently focusing its activities over five Exclusive Prospective Licenses (\"EPL\") in the Karibib area of Namibia, which have been applied for. The license applications focus on a region that has strong geological evidence of a significant number of late tectonic granites and associated Lithium Caesium Tantalum pegmatite swarms. Ninety percent of Namibia's historic lithium production comes from this terrain and geological mapping by the Namibian government has...