23/03/2009 - 12:06

IMX Resources sells royalty for $6m

23/03/2009 - 12:06

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Subiaco-based IMX Resources has pocketed $6 million after selling its Four Mile royalty to Anglo Pacific Group.

IMX Resources sells royalty for $6m

Subiaco-based IMX Resources has pocketed $6 million after selling its Four Mile royalty to Anglo Pacific Group.

 

The announcement is below:

 

The Board of IMX Resources NL (ASX:IXR) is pleased to announce it has sold the Four Mile royalty to Anglo Pacific Group Plc (ASX:AGP) for $6 million.

The Four Mile royalty covers tenements comprising the Beverley Four Mile uranium resource in South Australia owned by Quasar Resources Pty Ltd and Alliance Resources Limited.

The funds from the sale will be used to drive IMX's ongoing exploration program. The royalty represented a non-core asset for the Company and the Board determined that the monetisation of the royalty was the most beneficial avenue for shareholders to secure additional funding in the current market conditions.

The sale means IMX is now fully funded through until at least June 2010, with a strong commitment to exploration in the Mt Woods tenements in South Australia. The Mt Woods tenement package includes the Company's advanced Cairn Hill magnetite - copper - gold project.

IMX Managing Director Duncan McBain said IMX's strength was the diversity of its assets.

"We're in a fortunate position to be able to liquidate non-core assets to provide a cash injection for shareholders in the current market conditions," Mr McBain said.

The sale is subject to regulatory consents and settlement is expected within 60 days.

IMX Resources was advised on the sale by Argonaut.

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