Cadence Minerals plc (LON:KDNC) has announced that it has completed the sale of its working interests in the Yangibana Rare Earths project tenements to Hastings Technology Metals (ASX:HAS).
- Cadence has received AS$9 million of new ordinary shares in ASX-listed Hastings for its 30% stake in various tenements of the Yangibana Rare Earth Project
- Cadence has received some 2.45 million shares of Hastings, roughly 1.9% of the issued share capital of Hastings
- Hastings is constructing the world’s next producer of neodymium and praseodymium concentrate, with maiden production forecast to start in 2024
- NPV of project AS$ 1 billion, Hastings current market capitalisation AS$472 million (24/01/2023)
Further transaction details are available in Company’s RNS dated 23 June 2022. Cadence has sold its 30% working interest in the Yangibana Project tenements to the operator and owner of the remainder of the Yangibana Project, Hastings, for A$9 million (£5.1 million), which has been satisfied via the issue of 2,452,650 new ordinary shares in Hastings to Cadence Minerals. These shares represent approximately 1.9% of the current issued share capital of Hastings Technology and are subject to a 12-month voluntary escrow. As of 31 December 2021, the total carrying values of the tenements in the Company’s balance sheet was approximately £905,000. Based on the transaction announced, the initial profits on the sale of our interest is approximately £4.2 million.