A little more information about some of Alex Molyneux's investing friends from Singapore . . . . . Gunss was standing next to, maybe ? Mr Neo Kim Hock ??????
An investor in Azarga resources, but also taking direct large stakes in companies Azarga is already invested in, such as Celsius Coal, which I have highlighted . . . . . . . . possible future buyer of large portion of BLR maybe ? IMO
Blumont Group Ltd. (199302554G) 298 Tiong Bahru Road #20-02/03 Central Plaza Singapore 168730 Tel: (65) 6332 9488 Fax: (65) 6332 9489 2
Blumont increases exposure to the uranium sector via upsized commitment to Azarga Resources Highlights:
Increases existing convertible loan facility by US$6 million to US$21 million Increased commitment is to support Azarga’s recent investments in Powertech Uranium, Anatolia Energy, and a 60% controlling interest in the Centennial uranium deposit in Colorado, USA
SINGAPORE – 28 August 2013 – Singapore Exchange Mainboard-listed Blumont Group Ltd. (??????) (“Blumont” or the “Group”), is expanding its commitment to the uranium sector and its partner in that space, Azarga Resources Limited (“Azarga”) by increasing the size of its existing convertible loan facility by US$6 million to US$21 million.
The convertible loan facility is part of the conditional sale and purchase agreement by Blumont to acquire 100% of Powerlite Ventures Ltd (“PVL”) announced on 17 July 2013. PVL owns a 17.65% stake in Azarga which has interests in various uranium assets. As part of this acquisition, Blumont took over PVL's original US$15 million undrawn convertible loan facility to Azarga to support Azarga’s activities in the uranium sector.
Azarga is an investment holding company with an 80% interest in UrAsia in Kyrgyzstan LLC (“UrAsia”) and a 19.67% stake in Australian Securities Exchange (“ASX”)-listed Black Range Minerals Ltd (“Black Range”).
With the support of the Blumont Group, Azarga has made several strategic uranium investments, which include the following:
1) a 17.5% stake in Powertech Uranium Corp. (“Powertech”) Listed on the Toronto Stock Exchange, Powertech is a Vancouver-based mineral exploration and development company. Through its Denver-based subsidiary Powertech (USA), Inc., it holds the Dewey-Burdock Uranium Deposit in South Dakota, the Centennial Project in Colorado and the Dewey Terrace and Aladdin Projects in Wyoming. Powertech's uranium holdings cover more than 60,000 acres in the Western United States.
2) a direct 60% stake in the Centennial uranium deposit in Colorado, USA Centennial covers 7,100 acres of uranium mineral rights in Weld County, Colorado. The property has undergone approximately 1 million feet of drilling in 3,000 holes. A Preliminary Economic Assessment Report, completed in August 2010 by SRK Consulting, identified combined Centennial deposits containing indicated resources totaling 9.5 million pounds U3O8 (0.09% U3O8), and an additional Inferred resource of 2.1 million pounds U3O8 (0.09% U3O8), at a 0.2GT (grade-thickness product)cut-off. The proposed ISR project envisions a 700,000 pounds per year U3O8 production rate and a 75% ultimate recovery; generating a 14-year mine life.
3) a 10.1% stake in Anatolia Energy Limited (“Anatolia”) ASX-listed Anatolia is a uranium exploration company holding an extensive portfolio of exploration licences with accelerated exploration programs in the Republic of Turkey. Backed by an experienced project team, Anatolia’s strategy is geared towards becoming a key explorer and miner in Turkey’s uranium sector. Its current focus is on the exploration and development of its advanced Temrezli uranium project in central Turkey, which is located in one of the most significant and richest uranium districts in Turkey. Turkey is emerging as a key new player in the nuclear power space. Outlining the rationale for increasing its loan commitment to Azarga,
Blumont’s Executive Chairman, Mr Neo Kim Hock said, “Blumont and Azarga are bullish over the long term prospects of the uranium sector. Our decision to support them is in furtherance to our strategy to develop our mineral and energy resources business.
Through Azarga, we are excited to have immediate and direct exposure to some of the key uranium deposits in the world. We are very excited by the immense potential of these new assets and the returns they can generate for us in the long term. The increase in the amount of the convertible loan will also give us the opportunity to increase our interests in the global uranium sector.”
Azarga’s exposure to three new deposits – Centennial, Dewey Burdoch and Tremzeli – has seen its attributable uranium resource has increased by 12.7 million pounds.
Azarga’s other assets include UrAsia, which owns the largest known uranium resource in the Kyrgyz Republic that enjoys direct rail link to in-country processing facilities. It has a license area of 424 km2 in the country’s north where 10 uranium occurrences have been found.
In addition, Azarga owns a 19.67% stake in Black Range, which together with its subsidiaries is principally engaged in the development of its Colorado uranium property, Hansen / Taylor Ranch. Located northwest of Cañon City, Colorado, USA, the mine is undergoing permitting for expected production in 2016. The Project contains JORC Code-compliant indicated and inferred resources of more than 90.9 million pounds U3O8 at a very robust grade of 0.06% U3O8, making it one of the largest mineable uranium projects in the US. Black Range also has 50% of a joint venture with Ablation Technologies LLC to commercialise its Ablation mineral concentration process – a “game changing” uranium processing technology, which significantly lowers the cost of transporting and processing the mineral.
************************************************************************************************************************ Blumont Group Ltd. (199302554G) 298 Tiong Bahru Road #20-02/03 Central Plaza Singapore 168730 Tel: (65) 6332 9488 Fax: (65) 6332 9489 3 About Blumont Group Ltd. (Bloomberg: BLUM SP / Reuters: BLUM.SI)) Blumont Group Ltd. operates in three reportable business segments.
Its Investment Holding segment makes investment in transferable securities, including, but not limited to, marketable shares, warrants and debentures. The Group’s Sterilisation segment provides contract sterilisation and polymerisation services to food packaging, medical devices, cosmetic raw materials and consumers products. Its property segment is engaged in the development of properties for sale and long-term holding of properties for rental and related income.
In line with the Group’s new strategy to become a company with multiple and diversified mineral resource and energy assets, Blumont had been actively pursuing and acquiring new investment opportunities in this sector. Its recent activities include taking a 10.7% stake in Australian Securities Exchange (“ASX”)-listed Kidman Resources Limited, a company focused on the exploration and development of high grade copper-gold deposits within Australia;
**** Acquiring an 11.5% interest in Celsius Coal Ltd.; ****
Entering into a conditional sales and purchase agreement to subscribe for 2.5 million ordinary shares, representing the entire issued share capital of Hudson Minerals Holdings Pte Ltd for a purchase consideration of up to S$48.0 million (including the assignment of the Shareholders’ Loans of not less than S$5.5 million by the Vendors to Blumont); entering into a conditional agreement to acquire a 12.75% stake in the enlarged capital of Australian Securities Exchange-listed Cokal Limited; and forming a joint venture company with two partners to enter into a conditional agreement to acquire a 43.47% stake in the enlarged share capital of ASX-listed minerals explorer Prospect Resources Limited.
Issued for and on behalf of Blumont Group Ltd.
For more information, please contact: August Consulting Pte Ltd Tel: +65 6733 8873 Karen TING: [email protected] Wrisney TAN: [email protected]
BLR Price at posting:
1.4¢ Sentiment: Buy Disclosure: Held
