"The Hamersley project is located
in the Pilbara region of Western
Australia and includes five
Flinders-Prenti JV exploration
licences and nine Fortescue
Metals Group (FMG) exploration
licences. In the Flinders-
Prenti JV, Flinders previously
purchased 50% and will own
100% after spending $2 million.
Flinders current expenditure
since inception is approaching
$1 million which will entitle the
Company to a 75% interest.
Flinders has a commodity rights
exchange agreement with
FMG whereby Flinders owns
the diamond rights and FMG
owns the iron ore rights on the
Flinders-Prenti licences, with
the exception of the Hamersley
tenement (E47/882). Flinders will
receive a royalty from FMG if the
iron ore resources are developed
within their tenements. Flinders
also has a strategic data alliance
with De Beers whereby, after
Flinders has earned 100% in
the Prenti JV, De Beers has the
right to purchase 70% of the
project for 3.5 times Flinders’
expenditure."
FDL
flinders diamonds limited
