Business
Investment in Cue Resources L
Investment in Cue Resources L.
About this update from Red Rock Resources Plc
[{"type":"text","content":"\n RNS Number : 7847B Red Rock Resources plc 02 November 2009 \n \nRED ROCK RESOURCES PLC\n\nInvestment in Cue Resources Ltd\n\nDated: 2 November 2009\n\n \nRed Rock Resources plc (\"Red Rock\" or the \"Company\") the mineral exploration and development company focused on advancing iron ore, manganese and uranium projects in Australia and East Africa, announces that the Company has subscribed for 9,898,000 Units in Cue Resources Ltd (\"Cue\"), at a price of CAD 0.10 per Unit (\"Subscription\"), an aggregate consideration of CAD 989,800 (approximately £565,000) . Each Unit consists of one common share (\"Share\") and one warrant entitling the holder to subscribe for one additional Share at CAD 0.15 for two years from 1 November 2009 (\"Warrant\"). The Shares and Warrants are subject to a four month hold period. The Warrants will contain an acceleration provision which will provide for the mandatory exercise or lapse of the Warrants in the event the Shares trade at a price of over CAD 0.30 for a period greater than 20 trading days.\nFollowing the Subscription, and an earlier subscription by third party investors, which together have raised CAD 2,383,312 before expenses, Cue will have 62,732,105 Shares in issue, and the Company will hold 15.78 per cent of the issued capital, as enlarged by the subscriptions. \n\nCue is a company incorporated in Canada and listed on the TSX Venture Exchange, where it trades under the symbol CUE. The principal asset of Cue is 100% of the 230,000 hectareYuty uranium project in Paraguay. The defined mineralisation is interpreted to be a sandstone-hosted roll-front uranium deposit, and the Yuty license is interpreted to contain 130 km of a regional redox front with multiple uranium targets. One of these, San Antonio, has seen significant exploration, first by the Anschutz/Korea Electric Power/Taiwan Electric Power joint venture in 1976 to 1983, when 266 holes were drilled regionally, and latterly by the Cue/Cameco joint venture who drilled 234 holes between 2007 and 2009. The joint venture with Cameco was terminated by mutual agreement earlier in 2009. Cue has NI 43-101 compliant Resources at San Antonio, comprising an Indicated Resource of...