Red Rock Resources sees progress on DRC assets

Natural resource development company Red Rock Resources announced developments in relation to its joint venture agreement for the development of cobalt and copper assets in the Democratic Republic of the Congo on Wednesday.

The AIM-traded firm said payment of the £0.49m tranche of the consideration for its copper-cobalt joint venture interest had now been made.

It said the joint venture parties had organised a local company, Musonoi Mining SA, to be owned 50.1% by Red Rock and to hold the joint venture interests of the parties.

The vendors had been issued 70 million Red Rock shares at 0.7p each, with attached one-for-one three-year warrants to subscribe for new shares at an exercise price of 1p per share, as settlement of the £0.49m tranche of consideration.

A further $0.25m payment would be made upon completion of remaining documentation, which Red Rock said was expected early in the New Year.

A report and plan was scheduled to be submitted to local partner La Générale des Carrières et des Mines (Gécamines) by the end of the year, and the company said it had been preparing that, collating a large quantity of historic data and working with its consultant geologists Minex Consulting to ensure timely submission.

“We are forming a very positive impression of the potential from the data we are assembling and look forward to providing the market with further detailed information on our targets and intentions, in particular for early mobilisation on to the Musonoi license,” said Red Rock chairman Andrew Bell.