Mantle Mining Corporation announced that the transaction to acquire a 95% interest in Morning Star Gold HL (MCO) – subject to Deed of Company Arrangement – settled yesterday, with the Company making the first payment for the acquisition and the Deed Administrator now moving to effectuate the Deed of Company Arrangement.
Mantle said it now holds the right to acquire a 95% interest in the company via its interest free convertible note in MCO, which is fully convertible into a 95% shareholding interest in MCO.
According to the company, during the course of the transaction the parties have renegotiated the payment schedule to take into account the longer than anticipated time frames within which the transaction has evolved.
Mantle Mining Director Ian Kraemer said the balance of the acquisition is now payable in three delayed payments of $1 million each payable on 20 June 2016, 31 October 2016 and 28 February 2017.
“We are pleased to have further progressed our acquisition of MCO, the holder of the Moring Star Gold mine and associated plant and equipment,” Mr Kraemer said.
According to him, the details of the company’s restart programs at Norton and Morning Star will be released in the coming weeks.
“We have been working toward a restart of operations at the Morning Star mine in anticipation of this approval and are thrilled to be able to no meaningfully progress the operation.”