Cash backed and a major Potash resource, page-20

this new rock phosphate acquisition can be a feeder revenue maker to fund the potash.


"Centrex Metals Limited (“Centrex”) has signed agreements with SCF for the development by Centrex of the Ardmore high-grade phosphate rock project in Northwest Queensland. Ardmore is a smaller high-grade satellite deposit to the Duchess Mine which is located around 70 km east and feeds SCF’s Phosphate Hill ammonium phosphate fertiliser plant, and remains undeveloped. SCF agrees to transfer, subject to necessary regulatory approvals, the Ardmore Mining Lease to Centrex for A$ 5 million, and SCF will retain an interest in the project via a right of first refusal of up to 20% of production (at market prices) as well as a 3% royalty. Ardmore is one of the very few undeveloped high-grade phosphate rock projects in the world, and the deal provides Centrex an opportunity to fast-track development of an advanced asset into revenue generation, that will also support longer term development of its Oxley Potash Project"