Mozambique Mining: Fura Gems revises ruby asset purchase agreement

The purchase price of ruby assets in Mozambique by Canada’s Fura Gems from Australian companies Mustang Resources Ltd and Regius Resources Group Ltd has been reduced from 15 million to 7.8 million Australian dollars, the Canadian company said.

Fura Gems also reported that the price to be paid for the assets of Mustang Resources, now called New Energy Minerals, was also reduced from 9,999,999 to 2.8 million Australian dollars in treasury stock under a loan agreement for that amount granted to the Australian company.

In relation to this loan agreement, Fura Gems undertook a review of the merger agreement for ruby assets in Mozambique between its own subsidiary Cobadale Ltd, New Energy Minerals Ltd, Regius Resources Group Ltd and Montepuez Minerals Mauritius Ltd.

Last July, Fura Gems announced it would become the company with the largest licensed area, 1,104 square kilometres, for ruby exploration in Mozambique, following the completion of the merger of mining assets with Australian companies Mustang Resources Ltd and Regius Resources Group Ltd.

Under the agreement the Canadian company will acquire nine mining licenses held by those two companies for 15 million Australian dollars of which 3 million in cash and about 12.7 million in the company’s own shares. (source: Macauhub)