Austral Resources Australia Executes Documentation to End Obligations Under Anthill Project Agreement

MT Newswires Live

Jul 28

Austral Resources Australia (ASX:AR1) confirmed that the company executed documentation with the Anthill project agreement (APA) participants, Glencore and Secover, to terminate its obligations under the APA upon completion, according to a Tuesday filing with the Australian bourse.

The APA will settle at a value of nearly AU$52 million, comprising a cash payment of AU$37.6 million and the issue of 159.8 million shares, equivalent to AU$14.4 million, at AU$0.09 apiece, the filing said.

Completion of settlement is anticipated by the end of the month.

The participants also agreed to a full and final release of the company to all current and future claims and their security over the company's assets in relation to the APA, per the filing.

Austral Resources Australia shares fell 2% in midday trade Tuesday.

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