RE: RE: RE: EML Atomaer''''s Braemore only for inf
PLATINUM
Braemore, Pan Palladium to study PGMs mine
By:
Matthew Hill
Published: 14 Dec 07 - 11:30
Aim-listed Braemore Resources, which is developing precious-metals smelters in South Africa, has signed an agreement with platinum explorer Pan Palladium (PP) to jointly study the viability of a mine and possibly develop it.
Grass Valley project is a platinum-group metals (PGMs)/nickel deposit situated in the northern limb of the Bushveld Complex.
In an emailed statement, Braemore said that the project, a joint venture between world number-two platinum producer Impala Platinum and PP, was estimated to contain a resource of 3,6-million ounces of PGMs, 103 000 t of nickel and 28 000 t of copper.
Under the agreement, signed on December 12, Braemore would get a 37% stake in the project, on completion and funding of a prefeasibility study within 18 months, and a definitive feasibility study within 30 months.
The cost of these studies was pegged at R55-million.
Braemore would be granted five-million shares in PP at A$0,20 each, within ten days of PP's shareholders approving the deal.
The agreement also included various options for Braemore to further increase its holding in PP over a five-year period.
On delivery of a successful feasibility study for Grass Valley, Braemore would be issued with a further ten-million ordinary shares.
Assuming that all the share issues described above take place, and that Braemore exercised all its options, Braemore would own 43% of the issued share capital of PP.