Business
Jupiter Mines: appointment of financial adviser
Jupiter Mines: appointment of financial adviser.
About this update from Red Rock Resources Plc
[{"type":"text","content":"\n \nRNS Number : 4213Z Red Rock Resources plc 14 March 2017 \n\nRed Rock Resources plc\n \n(\"Red Rock\" or the \"Company\")\n \nJupiter Mines: Appointment of Financial Advisor\n \n14 March 2017\n \nFurther to the announcement of 13th March 2017, Red Rock announces that Jupiter Mines Ltd, an Australian unlisted public company in which Red Rock owns 25,684,913 shares, has made the following announcement:\n \n \"JUPITER APPOINTS FINANCIAL ADVISOR\n \nJupiter Mines Limited (\"Jupiter\" or \"Company\") and its partner Main Street 774 (Pty)\nLimited, are pleased to announce the launch of the process to investigate strategic options to realise shareholder value from their flagship Tshipi manganese mine. As stated in the Jupiter announcement of 23 January 2017, this may result in a listing in 2017. Bank of America Merrill Lynch have been appointed as advisors to progress these options.\n \nThe Company has also just announced the successful close of its US$55 million buy-back, thereby effectively returning to shareholders over half their original capital investment. Given reasonable manganese prices, shareholders should receive the remaining half of their original capital investment in the near future.\" \n \nNotes\n \nThe manganese mine owned by Jupiter's 49.9% owned associate Tshipi é Ntle Manganese Mining Proprietary Ltd (\"Tshipi\") is in the Kalahari Manganese Basin of South Africa, thought to contain some 80% of the world's metallurgical grade manganese. Tshipi is one of the five largest manganese operations globally, and one of the three largest in South Africa.\n \nThe Tshipi mine has been in operation as an open pit mine over three full years. In these years, to February 2016, the average manganese price for the 37% ore that Tshipi is producing has been US$3.06 per DMTU (Dry Metric Tonne Unit). The manganese price has been in decline over the period, reaching lows of US$1.32 per DMTU towards the end of the last financial year. There has been a recovery since, with the price trading for much of this year between US$2 and US$3 per DMTU and recently at levels between US$2.35 and over US$6 per DMTU. \n \nThe Tshipi mine is in the lowest cost quartile of global manganese producers....