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Renaissance and Oz agree to new milestone payments

10th September 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed junior Renaissance Minerals has negotiated with fellow-listed Oz Minerals to defer a A$10-million milestone payment on the Okvau gold deposit.

Under the original agreement, Renaissance was required to pay A$10-million in establishing a mineral resource of 1.25-million ounces at Okvau, which was declared in March this year.

However, Oz Minerals has now agreed to accept this payment once a decision to mine has been reached.

In exchange, Oz Minerals would be issued 15.3-million new shares in Renaissance, giving the company a 16% shareholding in the ASX-listed junior.

Renaissance MD Justin Tremain said that the amendment to the terms of the purchase of the Cambodian gold project allowed the company to continue to grow its gold resource at Okvau to ultimately support a large-scale operation.

“The company is well funded, with cash of around A$5-million, and can now continue with its focused exploration programmes and recommence drilling to grow the resource base at Okvau without the possibility of triggering the milestone payment.”

Edited by Creamer Media Reporter

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