Empire Metals Limited Munni Munni Transaction Update (4142T)

TIDMEEE

RNS Number : 4142T

Empire Metals Limited

20 July 2020

Empire Metals Limited / AIM: EEE / Sector: Natural Resources

20 July 2020

Empire Metals Limited ('Empire' or the 'Company')

Munni Munni Transaction Update

Empire Metals Limited, the AIM-quoted resource exploration and development company refers to the announcement made earlier this morning in Australia by ASX listed Artemis Resources Limited ('Artemis').

On 27 April 2020, the Company announced that it had entered into a binding agreement to acquire a 58.6% interest in Munni Munni Pty Ltd ('MMPL'), a wholly-owned subsidiary of Artemis and the beneficial owner of a 70% interest in the Munni Munni Palladium Project in the West Pilbara, Western Australia ('Munni Munni'). Platina Resources Limited ('Platina') is the holder of the remaining 30% in Munni Munni.

Artemis today announced that on Friday 17 July 2020, it was served a writ of summons issued by the Supreme Court of Western Australia as filed by Platina, its 30% joint venture partner to the Munni Munni Project. Platina claims that Artemis and its wholly owned subsidiary, MMPL, have breached the Heads of Agreement entered into by the parties relating to the Munni Munni Joint Venture as a result of the Company entering into the agreement with Empire.

Artemis denies Platina's claims and state that they intend to vigorously defend their position.

Mike Struthers, CEO, said: "This is an unwelcome development in our proposed acquisition of an interest in MMPL. We announced the Munni Munni transaction on 27 April 2020, but Platina have chosen only now to present this claim.

"We believe the claim is spurious and we understand Artemis intend to vigorously defend their interests and move forward with Empire and progress the development of the project.

"This is a disappointing turn of events however the transaction remains in progress. Completion is still conditional on a number of conditions precedent including completion of due diligence, execution of a formal joint venture agreement, obtaining necessary regulatory approvals and obtaining all necessary third-party consents and approvals to give effect to the proposed acquisition .

"We will of course inform our shareholders of developments in due course.

"In respect of our interests in Georgia, the Company continues with various initiatives trying to unlock the situation with respect to the exploration permit and licence area, and we await advice from the Ministry of Economy and Sustainable Development of a date for a hearing as a part of the Company's appeal against the National Agency of Mines findings, as referenced in the Company's announcement of 28 January 2020."

The Company was in the process of conducting a market sounding and has withdrawn from this process.

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

**ENDS**

For further information please visit www.empiremetals.co.uk or contact:

 
 Mike Struthers   Empire Metals Ltd        Company          Tel: 020 7907 
                                                             9327 
 Ewan Leggat      S. P. Angel Corporate    Nomad & Broker   Tel: 020 3470 
                   Finance LLP                               0470 
 Soltan Tagiev    S. P. Angel Corporate    Nomad & Broker   Tel: 020 3470 
                   Finance LLP                               0470 
 Damon Heath      Shard Capital Partners   Joint Broker     Tel: 020 7186 
                   LLP                                       9950 
 Susie Geliher    St Brides Partners Ltd   PR               Tel: 020 7236 
                                                             1177 
 Beth Melluish    St Brides Partners Ltd   PR               Tel: 020 7236 
                                                             1177

About Empire Metals Limited

Empire Metals Limited (formerly Georgian Mining Corporation) has 50% ownership of the Bolnisi Copper and Gold Project in Georgia, situated on the prolific Tethyan Belt, a well-known geological region and host to many high-grade copper-gold deposits and producing mines. The Bolnisi concession covers an area of over 860 sq km and has a 30-year mining licence with a variety of targets and projects ranging from greenfield exploration / target definition phase through intermediate target-testing phases to more advanced projects including Kvemo Bolnisi East which is due to advance to Feasibility Study.

The acquisition of Munni Munni is a result of the Company's ongoing assessments of the potential for expanding the Company's portfolio through the addition of new assets which have the ability to add value in the short term.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

POSMZGMNLLGGGZM

(END) Dow Jones Newswires

July 20, 2020 02:00 ET (06:00 GMT)

Empire Metals (AQSE:EEE.GB)
Historical Stock Chart
From Jun 2024 to Jul 2024