Venture Minerals Divests Tasmanian Riley Iron Ore Mine

THE BOURSE WHISPERER: Venture Minerals (ASX: VMS) announced the sale of the company’s Riley iron ore mine in Tasmania.

Venture Minerals has struck a share purchase and sale agreement with Goldvalley Brown Stone Pty Ltd for the sale of the company’s wholly-owned subsidiary, Venture Iron Pty Ltd, the holder of the Riley iron ore mine.

The company had Argonaut PCF undertake a strategic review of the project, which has been on care and maintenance since 2021.

This review considered all options, including a potential restart, joint venture or asset sale, with the focus on delivering near-term value for Venture and its shareholders.

After looking at all options presented the company determined the sale of the project was its best way forward.

On completion of the sale, Ventures coffers will receive a boost of $3 million, which it said will enable it to unlock the full economic potential of its recent Jupiter Rare earth discovery in Western Australia.

“The refreshed board is focussed on creating shareholder value,” Venture Minerals managing director Philippa Leggat said in the company’s ASX announcement.

“The sale of Riley sees Venture receiving three million dollars and our environmental bond of over half-a-million dollars being returned to the company.

“This capital injection will be used to advance our high-grade, clay-hosted rare earth project, Jupiter.

“This also frees our team to focus their efforts on advancing Jupiter while eliminating the financial burden of maintaining the Riley project on care and maintenance.

“We thank the Tasmanian Authorities for working with Venture for all these years.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE