Purchase Agreement with Off-take Ptnr Transamine
29 December 2017
Rambler Enters Into Purchase Agreement with its
Off-take Partner Transamine Trading S.A.
London, England - Newfoundland and Labrador, Canada - Rambler Metals and Mining plc, a Canadian copper and gold producer, explorer and developer (TSXV: RAB, AIM: RMM) ("Rambler" or the "Company") today reports that its operating subsidiary, Rambler Metals and Mining Canada Limited ("Rambler Canada"), has entered into an Addendum (the "Addendum") to its Amended and Restated Purchase Agreement with Transamine Trading S.A. ("Transamine") previously announced on 2 September 2015. Pursuant to the terms of the Addendum, Transamine has agreed to purchase in advance USD $4,000,000 of concentrate (the "Advance Purchase Payment"). The Advance Purchase Payment accrues interest at a rate of 6.75 per cent per annum and is secured by Transamine's existing charge against the assets of Rambler Canada and is guaranteed by the Company. The Advance Purchase Payment will be used for working capital requirements as the company finalizes its Phase II expansion at the Ming Mine.
The Advance Purchase Payment shall be repaid in eighteen (18) equal monthly installments of $222,222.33 plus interest commencing one hundred and eighty (180) days following the advance. The monthly repayments shall be in the form of cash or a deduction against provisional invoicing. As an additional consideration for the Advance Purchase Payment, Rambler Canada has also agreed to provide Transamine a Right of First Refusal on any offtake agreement pertaining to concentrates for a period of five (5) years commencing 1 January 2022, in accordance with the terms of Addendum.
Norman Williams, President and CEO, commented:
"We are nearing the end of our planned Phase II expansion which has extended the life of the project by nearly 20 years. During this pivotal time we have elected to secure this term financing to ensure sufficient working capital is available for the operation during its final transition.
"Rambler continues to foster an excellent relationship with its concentrate offtake partner. Since entering into commercial production in 2012 Transamine has been a continuous supporter of our project and has no doubt benefited from the delivery of Rambler's high grade and quality concentrate. As we look toward future decades of production at the Ming Mine the Right of First Refusal offer will provide Transamine with an option to continue its relationship beyond the existing contract termination date of December 2021. We are pleased to be continuing with Transamine as we finalize our Phase II expansion plans over the coming months."
Neither TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR'). Upon the publication of this announcement via Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.
ABOUT RAMBLER METALS AND MINING
Rambler is a mining and development company that in November 2012 brought its first mine into commercial production. Rambler has a 100 per cent ownership in the Ming Copper-Gold Mine, a fully operational base and precious metals processing facility and year round bulk storage and shipping facility; all located on the Baie Verte peninsula, Newfoundland and Labrador, Canada.
Rambler's ongoing Phase II plans are to sustain mine and mill production at 1,250 mtpd in 2018. This initial expansion has been fully funded through CEII's investment. Rambler will also continue advancing Phase III engineering studies with a view to further increase production to 2,000 mtpd at the Ming Mine.
Along with the Ming Mine, Rambler also owns 100 per cent of the former producing Little Deer/ Whales Back copper mines and has strategic investment in the former producing Hammerdown gold mine.
Rambler is dual listed in London under AIM:RMM and in Canada under TSX-V:RAB.
For further information, please contact:
|
Norman Williams, CPA,CA President and CEO Rambler Metals & Mining Plc Tel No: 709-800-1929 Fax No: 709-800-1921 |
Peter Mercer Vice President, Corporate Secretary Rambler Metals & Mining Plc Tel No: +44 (0) 20 8652-2700 Fax No: +44 (0) 20 8652-2719 |
|
Nominated Advisor (NOMAD) |
Investor Relations |
|
David Porter Cantor Fitzgerald Europe Tel No: +44 (0) 20 7894 7000 |
Nicole Marchand Investor Relations Tel No: 416- 428-3533 Nicole@nm-ir.com |
Website: www.ramblermines.com
Caution Regarding Forward Looking Statements:
Certain information included in this press release, including information relating to future financial or operating performance and other statements that express the expectations of management or estimates of future performance constitute "forward-looking statements". Such forward-looking statements include, without limitation, statements regarding copper, gold and silver forecasts, the financial strength of the Company, estimates regarding timing of future development and production and statements concerning possible expansion opportunities for the Company. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief are based on assumptions made in good faith and believed to have a reasonable basis. Such assumptions include, without limitation, the price of and anticipated costs of recovery of, copper concentrate, gold and silver, the presence of and continuity of such minerals at modeled grades and values, the capacities of various machinery and equipment, the availability of personnel, machinery and equipment at estimated prices, mineral recovery rates, and others. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, interpretation and implications of drilling and geophysical results; estimates regarding timing of future capital expenditures and costs towards profitable commercial operations. Other factors that could cause actual results, developments or events to differ materially from those anticipated include, among others, increases/decreases in production; volatility in metals prices and demand; currency fluctuations; cash operating margins; cash operating cost per pound sold; costs per ton of ore; variances in ore grade or recovery rates from those assumed in mining plans; reserves and/or resources; the ability to successfully integrate acquired assets; operational risks inherent in mining or development activities and legislative factors relating to prices, taxes, royalties, land use, title and permits, importing and exporting of minerals and environmental protection. Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and the Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise, except as required under applicable security law
This information is provided by RNS
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