THE BOURSE WHISPERER: Rox Resources (ASX: RXL) has come to an agreement with farm-in, and potential Joint Venture partner, Arafura Resources (ASX: ARU).
The companies have agreed to extending Rox’s stage 2 earn-in period on the Bonya project by one year.
Rox is earning-in to the Bonya project via a Farm-in and Joint Venture Agreement with Arafura Resources, whereby it has already earned a 51 per cent interest by having spent $500,000 between 10 December 2012 and 10 December 2014.
Rox elected to continue to earn-in to the project and increase its interest to 70 per cent by spending a further $1 million by 10 December 2016.
The recent challenging nature of capital markets, resulted in Rox requesting Arafura for, and being granted, an extension of the stage 2 earn-in period to 10 December 2017, with the expenditure requirement and all other material terms remaining the same.
“We are pleased that our partner Arafura, has granted this extension,” Rox Resources managing director Ian Mulholland said in the company’s announcement to the Australian Securities Exchange.
“In the context of the difficult market for junior explorers at present, it makes sense, and we are grateful that Arafura has taken a sensible and pragmatic approach to this issue.”