Legacy Iron Ore
Full Legacy Iron Ore profile here
Legacy Iron Ore (ASX: LCY) is a Perth-based Australian exploration company, established to search for iron ore and gold deposits. The flagship project is Mt Bevan Iron Ore project located approximately 100 kilometres west of Leonora in the central Yilgarn region.
Mt Bevan is a joint venture between Legacy and Hawthorn Resources whereby Legacy will earn a 60% interest in the project by expending a minimum of $3.5 million to develop the project to a pre-feasibility status.
Legacy Iron Ore in advanced negotiations to secure $200m line of credit
Monday, January 30, 2012
Legacy Iron Ore (ASX: LCY) is in advanced discussions to secure a monster $200 million line of credit to fund mine development at Mt Bevan as well as acquisitions.
Due diligence is underway by Legacy to finalise negotiations on Minemakers' (ASX: MAK) Wonarah phosphate project and Atlas Mining's (ASX: AGO) Ridley iron ore project.
The Convertible Securities Agreement with SpringTree Global Investors LLC has now been cancelled.
All new Australian projects proposed to be acquired will be developed through Legacy. These may be made through a joint venture agreement, partial or full acquisition.
Legacy disclosed it is also running a pen over Coking/Thermal Coal projects.
Analysis
With this announcement, Legacy is looking beyond the development of Mt Bevan, itself a sizeable undertaking. However, with the backing of India's NMDC, has propelled Legacy into a new league as well as value adding for Legacy holders.
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