Dated 12 June:
Red Rock Chairman Andrew Bell comments: "The receipt of $305,148.34 in further payments for the sale and operations of El Limon, and the interim distribution of $300,000 by Jupiter that we expect to receive in September, continue the pattern of improving cash flows seen since last year. An update on the most significant pending event, the sale or IPO of Jupiter's Tshipi manganese mine, is expected within weeks."
Dated 5 June:
Further to the announcements of 13th March and 14th March 2017, Red Rock announces that Jupiter Mines Ltd, an Australian unlisted public company, has released the following statement:
"JUPITER TO DISTRIBUTE US$25 MILLION FOR HALF YEAR 2018
The Tshipi mine remains on track to produce 3mtpa for the 2018 financial year end.
Should the existing manganese prices continue, Tshipi will distribute a further ZAR500 million to its shareholders in September whilst retaining its healthy debt free balance sheet. This repayment will result in a total return to Tshipi shareholders of ZAR1.5 billion of their original ZAR2.0 billion capital investment. Jupiter Mines Limited ("Jupiter" or "Company") has also recorded an operating profit of approximately US$10 million from its marketing business.
As a result Jupiter plans to distribute US$25 million to its shareholders in September. This will be via an off-market equal access share buy-back ("Buy-Back"). The cash for this will come from the profits generated by Tshipi and Jupiter's manganese marketing business.
The exact terms of the Buy-Back will be announced in due course but may be for approx. 2.5% of the issued capital of the Company.
The strategic process is progressing as per plan and is generating strong industry interest.
Should there be any material developments, an update will be announced in due course, along with the necessary shareholder approvals needed."
Red Rock holds approximately 1.2% of the issued share capital of Jupiter, so that it will receive approximately US$300,000 as part of the planned distribution.
OMH Price at posting:
18.0¢ Sentiment: None Disclosure: Not Held
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