Here are the terms - direct quotation from the announcement:
“In the event Avanco discovers a copper resource with potential to support the production of 80,000 tones per annum of copper metal for a life-of-mine greater than 8 years, Xstrata can exercise the right to “back-in” up to 70% (this excludes pre-existing Rio Verde and Serra Verde tenure).
On exercising the “back-in”, Xstrata and Avanco will form a joint venture company on a 70%-30% equity basis respectively.
As part of the back-in conditions, Xstrata will, reimburse the Company two times value of exploration expenditures and offer a favorable financing facility to assist Avanco in funding its contribution to project development capital.
Should the back-in not occur, Xstrata Copper will be entitled to a 0.5% NSR production royalty from Avanco.
A 1.5% NSR copper production royalty is payable to a former owner.”
If you have problem with the link, copy and paste part of the quote in the Google and you should be able find it easy.
http://www.asx.com.au/asxpdf/20110321/pdf/41xkbhg9dkln1q.pdf
- Forums
- ASX - By Stock
- AVB
- upwards and onwards
upwards and onwards, page-80
-
- There are more pages in this discussion • 123 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add AVB (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
1CG
ONE CLICK GROUP LIMITED
Mark Waller, MD
Mark Waller
MD
Previous Video
Next Video
SPONSORED BY The Market Online