GREY:AXXDF - Post by User
Comment by
Tepinon Mar 11, 2013 11:54am
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Post# 21110585
Royalities - the truth
Royalities - the truth The truth is different: Royalities for Roche Bay plc are only to be paid for the Roche Bay project. Tuktu and any other claim on the West Melville held by AXI is not part of the royality agreement with Roche Bay plc.
AXI can reduce the royalities to 2% and 3% by paying 35 mio USD till 2020.
Please compare M&A report: "Since the Company did not exercise the Royalty Purchase Option by March 15, 2011, the buy out 50% of the Royalty (other than the precious metals royalty) before December 31, 2020
for a total payment of $35,000,000 plus an inflation adjustment, allowing the Company to
effectively reduce the gross overriding royalty on iron products to 2% on nuggets and
3% on concentrates/pellets, respectively."