Investment in Africa China Mi

RNS Number : 9431W

Red Rock Resources plc

05 August 2009

 



RED ROCK RESOURCES PLC

Investment in Africa China Mining Corporation

Dated: 5 August 2009

Red Rock Resources plc ('Red Rock' or the 'Company') the mining exploration and mineral investment company with interests in iron ore and manganese in Australia and Zambia, and uranium investments in Africa and Australia, announces that it has disposed of its minority equity interest in Africa China Mining Corporation ('ACMC') for an effective cash consideration of US$ 1,000,000, equivalent to approximately £600,000. The Company's holding in ACMC was acquired for US$ 1,000,000 in July 2008 and was carried in the Company's books at approximately £509,000. The disposal has been effected by way of rescission of the original subscription agreement.

The sale price represents a small profit, of approximately £91,000, and the proceeds of the disposal, amounting to approximately £600,000, will be applied to working capital. 

Red Rock believes that, over time, more effective use of funds will be achieved by applying the proceeds from this sale to the Company's core business where management has significant influence.  This is preferable to continuing to hold a minority interest in a private company.

ACMC, a corporation incorporated in the Bahamas, through its subsidiaries holds manganese exploration assets and applications in Burkina Faso and Mali in West Africa including a ten year industrial mining permit to mine manganese from the Kiéré mine in the province of Tuy.

Enquiries:

Andrew Bell	0207 402 4580 07766 474849	Red Rock Resources plc	Chairman
John Watkins	07768 512404
Peter Trevelyan-Clark / Ben Jeynes	020 7489 4500	Blomfield Corporate Finance Ltd	Nominated Adviser
Nick Emerson	01483 413500	Simple Investments Ltd	Broker
Ron Marshman / John Greenhalgh	020 7011 9411	Lothbury Financial Limited	Public Relations

Updates on the Company's activities are regularly posted on its website, www.rrrplc.com.

 

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