Cadence Minerals plc said it had completed all documentation to own 20% of the Amapa iron ore project in Brazil.
AGREEMENT
The documents relate to a settlement agreement between the company and its joint venture (JV) partner Indo Sino Pty Ltd with DEV Mineração S.A. and the secured bank creditors.
Cadence added that the completion of contractual papers sees Pedra Brance Alliance (PBA), the Cadence and IndoSino JV company, now owning 100% of the equity of DEV.
DEV owns the large-scale Amapa iron ore mine, beneficiation plant, railway and private port.
Following the completion of documentations, Cadence now owns 20% of PBA.
JOINT VENTURE
The JV terms will see Cadence invest US$6 million to acquire up to 27% of the Pedra Branca Alliance (PBA).
The first phase of 20% required $2.5m and the remaining 7% will be for $3.5m.
AMAPA MRE
The current mineral resource estimate for Amapa contains 176.7 million tonnes grading 39.7% iron in the indicated category and 8.7Mt at 36.9% in the inferred category.