Cen­trex sells iron ore mine

The Australian Mining Review - - NEWS -

CEN­TREX Met­als has sold its South Aus­tralian iron ore as­sets, Wil­gerup and Kimba Gap, to GFG Al­liance sub­sidiary SIMEC Min­ing for a $10 mil­lion roy­alty.

Un­der the deal, SIMEC will pay a roy­alty upon com­mence­ment of min­ing, which would be capped at $5 mil­lion for each project.

If SIMEC does not com­mit to min­ing at the project within the next decade, Cen­trex has the op­tion to re­claim own­er­ship.

The sale marks Cen­trex’s move away from iron ore to fo­cus on its fer­tiliser min­ing de­vel­op­ments, in­clud­ing the Ard­more phos­phate rock project in QLD.

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