Mount Ida Magnetite Royalty Acquisition - Anglo Pacific Group

Anglo Pacific Group PLC (the “Company”) (LSE: APF, TSX: APY) announces that it has acquired 20% of the Mount Ida 1.5% Gross Revenue Iron Ore Royalty (“GRR”) from Red Rock Resources PLC (“Red Rock”). The Company had entered into a proposal with Red Rock (as detailed in the announcement on 6 February 2012) and subsequent to this a wholly-owned subsidiary of the Company has signed a Royalty Sale Agreement with Red Rock. The Royalty Sale Agreement provides for a total of US$14 million being paid in three instalments as follows: • Tranche 1: US$6 million on completion and agreement of the terms of the transaction, for a 0.3% GRR • Tranche 2: US$4 million payment for a further 0.225% GRR following the results of a positive definitive feasibility study (“DFS”), a formal decision to mine and 20% of the pre-production capital costs outlined in the DFS being provided for • Tranche 3: US$4 million for a further 0.225% GRR following the commencement of commercial production, taking the total to a 0.75% GRR Tranche 1 has now completed with the payment of US$6 million being settled by the payment of US$3,899,999.81 (less some applicable costs) and the issue and allotment of 416,161 ordinary shares in the capital of the Company to Red Rock. The new shares rank pari passu in every respect with the existing issued ordinary shares of the Company. Applications will be made to the UK Listing Authority, the London Stock Exchange and the Toronto Stock Exchange for the new shares to be admitted to the Official List. Subject to these applications being successful, the Company advises that its issued share capital will comprise of 109,605,376 ordinary shares of 2p each. The voting rights of all of these shares are identical with each share carrying the right to one vote. The Company holds no shares in treasury. Therefore, the Company’s total number of voting rights will be 109,605,376. This figure may be used by shareholders as the denominator for the calculations by which they determine if they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure and Transparency Rules.
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