Update on Purchase of Equipment at Cassanguidi
October 08 2009 - 9:40AM
UK Regulatory
TIDMPDF
RNS Number : 4909A
Pangea DiamondFields PLC
08 October 2009
Pangea DiamondFields plc
("PDF" or "the Company")
Update on Purchase of Equipment at Cassanguidi
Pangea Diamondfields plc (AIM: PDF), the mid-tier diamond producer and
exploration company provides the following update on its previously announced
transaction to purchase mining and processing equipment for use at its
Cassanguidi project in Angola from New Millennium Resources ("NMR"). The
Company's portfolio consists of seven projects located in the Central African
Republic ("CAR"), Democratic Republic of the Congo ("DRC"),
Angola and South
Africa.
On 10 August 2009, PDF reported that it had concluded a transaction to acquire
certain mining equipment and processing assets from NMR, for use at its
Cassanguidi project in Angola, for total cash and share consideration of
$600,000. As reported in the interim financial statements on 29 September 2009,
the essential equipment has now been relocated to Cassanguidi and is already in
use, whilst the purchase and relocation of equipment now considered unnecessary,
has been terminated.
PDF has successfully concluded a renegotiated agreement with NMR reflecting only
the value of equipment purchased. Under this agreement, PDF has paid the sum of
US$200,000 to NMR and has issued 2,500,000 new PDF ordinary shares ('Shares') to
NMR as full and final settlement of consideration for the purchase. This cash
and shares payment represents total consideration of approximately US$265,000
(at current prevailing exchange rates and share price). This is significantly
less than the estimated cost of the equipment if it was purchased in South
Africa and also delivers efficiencies in terms of lower transportation costs.
Application for the admission of 2,500,000 Shares to trading on the AIM Market
of the London Stock Exchange ('Admission') has been made and Admission is
expected to occur at 8.00 a.m. on 9 October 2009. Following Admission the
Company will have 1,783,826,082 Shares in issue.
Commenting on this development, Chief Executive Brett Thompson stated, "The key
challenges at Cassanguidi were specifically the earthmoving fleet. The specific
equipment finally acquired from NMR has resolved this issue without expending
additional capital on the purchase of unnecessary assets. This acquisition will
underpin continued progress at Cassanguidi as well as demonstrating once again,
the ability of PDF to identify and unlock value opportunities in the regions in
which it operates."
Further information:
+---------------------------+--------------------------+---------------------------+
| Pangea DiamondFields plc | Ambrian Partners Limited | Walbrook PR Ltd |
| | | |
+---------------------------+--------------------------+---------------------------+
| Brett Thompson | Richard Brown / Richard | Louise Goodeve / Leah |
| | Greenfield | Kramer |
+---------------------------+--------------------------+---------------------------+
| T: +27 11 438 4100 | T: +44 (0) 20 7634 4700 | T: +44 (0) 20 7933 8780 |
| | | |
+---------------------------+--------------------------+---------------------------+
Notes to Editors:
About Pangea Diamondfields PLC
Pangea DiamondFields plc (AIM: PDF) is an emerging diamond producer and
exploration company with a portfolio of seven projects each with multiple
resource targets, located in the Central African Republic, Democratic Republic
of the Congo, South Africa and Angola. The Company aims to minimise risk by
diversifying its projects geographically.
PDF listed on AIM in October 2006 and is led by a strong management team, with a
track record for creating shareholder value in mineral exploration.
For more information on PDF, please visit:
http://www.pangeadiamondfields.com/
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCBSBDGIXGGGCI
Pangea Diamond (LSE:PDF)
Historical Stock Chart
From Jun 2024 to Jul 2024
Pangea Diamond (LSE:PDF)
Historical Stock Chart
From Jul 2023 to Jul 2024
Real-Time news about Pangea Diamond (London Stock Exchange): 0 recent articles
More Pangea Diamond News Articles