The sale of 51% of Red Rock Resources’ (LON:RRR) 60% interest in Nama Greenland could still be on the cards after the board of the interested party gave the acquisition the green light.
The purchase looked to be on the rocks after delays in the process due to an investor holding significant amounts of cash in Cypriot banks at the height of its financial turmoil.
The parties are “working actively” to close the deal, Red Rock said in a stock exchange statement.
The company, which has an iron ore project in Greenland, a producing gold mine in Colombia, and gold and copper exploration interests in Kenya, is also considering offloading its Colombian assets after garnering interest from a number of suitors.
Ashmont Resources is still looking to buy Red Rock’s stake, while other companies are also on the prowl for the gold assets.
Production continues in Colombia in spite of illegal mining that has led to stoppages of up to 10 days. The government has been trying to force illegal miners to register their work and pay the relevant taxes.
“Progress continues in relation to the Greenland and Colombian sales,” said chairman Andrew Bell.
“The professionalism we have applied in our other projects is being brought to bear on Colombia as we move beyond the initial phases of establishing operations at the El Limon mine to more exciting work.
“Whether we keep it or sell it, we expect to benefit from the reviews currently being carried out. We also continue to assist our colleagues at Ascot. We are working to strengthen the foundations of Red Rock, in preparation for recovery in the resources sector.”