Strategic Minerals PLC (LON:SML) has restructured its purchase of the outstanding half of its tungsten and tin mine joint venture at Redmoor in Cornwall.
Partner New Age Exploration will now receive an upfront cash payment of A$300,000 for its 50% stake with the remaining US$2.7mln to be paid over the next eleven months.
There will be an interest charge of 5% annually on the balance outstanding while New Age has prior charges over the joint venture and its property as well as a convertible option in the event of a default.
John Peters, Strategic Minerals’ managing director, said the provision of a vendor loan by New Age has assisted the company in managing its cash flow.