Jupiter Mines (ASX:JMS) is advancing key pojects including: Tshipi Manganese Project in South Africa; Mt Ida Magnetite Project in the Central Yilgarn; Mt Mason DSO Hematite Project in the Central Yilgarn and the Oakover Manganese Project in a manganese producing region in the East Pilbara.
Red Rock says the Jupiter Mines steel feed project clears a crucial hurdle
Red Rock Resources (LON:RRR) said the steel feed programme of Jupiter Mines (ASX:JMS) has received a crucial regulatory boost.
The Australia-listed company is taking a 49.9 per cent stake in Tshipi Kalahari Manganese Project in South Africa.
Earlier today the country’s Department of Mineral Resources approved the transfer of the mining rights from Ntsimbintle Mining to Tshipi.
‘This was the last regulatory approval pending the decision to start construction of the Tshipi manganese mine,’ Red Rock said in a statement to the Stock Exchange.
Red Rock currently owns 22.64 per cent of Jupiter, which will be diluted down to 5.23 per cent once the Tshipi deal completes.
Jupiter is a steel feed venture backed by Brian Gilbertson’s Pallinghurst Resources and Korean giant Posco
Analysts say it can also be a considerable value generator for Red Rock.
While the AIM-listed mining firm is being heavily diluted back, it will have a stake in a far larger company.
Jupiter has caught the attention of Gina Reinhardt, Australia’s richest woman and daughter of mining magnate Lang Hancock, who is a shareholder.
And there is a belief among the analysts down under that Gilbertson has thrown in the Tshipi stake at a knock-down price.
This may act as an incentive to Singaporean sovereign wealth fund Temasek, which has made little secret of its desire to get involved in Tshipi in some form.
Led by Andrew Bell, Red Rock also has gold operations in Colombia and Kenya.
Its El Limon gold mine, one of the oldest in Colombia, could be in full production in three months once the surface plant is up and running.
Three hundred metres deep, the mine is producing 100 tonnes a month at a grade of five ounces per tonne, Bell says.
‘We can go up to maybe 100 to a 110 tonnes a day processed through a plant properly which will be at a head grade of perhaps wo-thirds of an ounce per tonne and that can be done quite quickly,’ the Red Rock chief executive told Proactive Investors recently.
Separately, it has a 26 per cent stake in Resource Star (ASX:RSL), which has uranium assets in Australia and Malawi, but has also discovered en vogue rare earth elements that are used in sustainable energy and electronics, and are rarely found outside China.
