Cadence Minerals updates on its investment in the Amapa Iron Ore project

Cadence Minerals plc (LON:KDNC) has provided an update on its investment in the Amapa Iron Ore Project, Brazil.

Progress with Secured Bank Creditors

Since our last update in early August, DEV Mineração S.A’s Cadence and Indo Sino Pty Ltd have continued a constructive dialogue with the secured bank creditors and the parties are currently negotiating the settlement terms as proposed by the Bank Creditors.

As mentioned in previous announcements, the remaining major precondition for Cadence to make its initial investment in the Amapa Project requires DEV to reach a settlement agreement with the Bank Creditors. On completion of the conditions and the release of the Cadence escrow monies, Cadence will become a 20% shareholder in the Amapa Iron Ore Project via our joint venture company which will own 99.9% of DEV Mineração S.A’s.

Further details about Cadence’s rights, potential investment, and the Judicial Restructuring Plan in relation to the Amapa Project are presented in our annual accounts published at the end of June and the announcements of the 30 August 2019 and 7 August 2019.

Commercial Court of São Paulo (“the Court”)

On the 28 July, the Court, responding to an appeal by the Bank Creditors, reaffirmed its decision of April this year allowing DEV to commence shipping iron ore from the stockpiles situated at DEV’s wholly-owned port in Santana, Amapa. Cadence has been informed that the Bank Creditors have now filed an appeal to a higher court, none the less the original ruling still remains in force.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Share on facebook
Share on twitter
Share on linkedin
Cadence Minerals

More articles like this

Cadence Minerals

China’s record steel futures boost iron ore prices

Iron ore prices rose on Wednesday, as record steel prices in China prompted investors to make tentative bets, despite production cuts in the country’s steelmaking hub that have clouded the demand outlook for the raw material. According to Fastmarkets MB,

Cadence Minerals

Iron ore prices to stay high on strong steel output

High iron ore prices are tipped to continue into Q2, supported by rising steel production and reduced steel inventories, according to the latest S&P Global Platts Iron Ore & Steel Outlook. Some 61% of participants said iron ore