Ariana Resources PLC (LON:AAU) said it has reached a conditional agreement for the sale of its remaining projects in Turkey to Zenit Madencilik ahead of the planned completion of its agreements with Özaltin Holding and with Proccea Construction concerning a proposed expanded joint venture (JV).
The AIM-listed company said its operating subsidiary has agreed to sell its three remaining Turkish projects to Zenit for US$2mln in cash, payable over 20 months. The projects are considered to be satellites of the Kiziltepe mine processing plant.
Ariana added that the sale agreement will become effective on the satisfactory completion of the JV deals with Özaltin and Proccea.
“This is an excellent outcome for the Company as we move towards the completion of the JV agreements with Özaltin and Proccea. The sale of these projects to Zenit represents the culmination of our strategy to build on the resource base of the joint venture, prior to the completion of our proposed transaction”, Ariana managing director Kerim Sener said in a statement.
“We have long viewed the JV as the natural home for these projects, particularly in relation to our hub-and-spoke approach to resource development in the context of the Kiziltepe Mine processing plant. We look forward to updating the market in due course on the status of the proposed expansion of our joint venture and the advancement of our portfolio”, the MD added.