REG - Cobra Resources PLC - Option to Sell Non-Core Tenement

Cobra ResourcesAnnouncement

19/03/2024 07:00

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RNS Number : 3097H  Cobra Resources PLC  19 March 2024

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET
ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) ("UK MAR"). UPON THE
PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK
MAR) IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR
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REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD
CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.

 

19 March 2024

 

Cobra Resources plc

("Cobra" or the "Company")

 

Option to Sell Non-Core Tenement

 

Cobra (https://cobraplc.com/) , an exploration company focused on the Wudinna
Project ("Wudinna") in South Australia, announces that it has entered into an
option agreement through its subsidiary, Lady Alice Mines Pty Ltd ("LAM"), to
dispose of the Company's non-core tenement EL 6016 ("Prince Alfred") to TC
Development Corporation Pty Ltd ("TC Development") for up to £80,000 in cash
(the "Option Agreement").

 

Key Terms

 

·      Cobra receives an option fee of £30,000 within 7 days of
executing the Option Agreement in return for granting TC Development a
12-month exclusive right to acquire Prince Alfred

 

·      If the option is exercised prior to the expiry of the Option
Period, TC Development may acquire Prince Alfred for the sum of £50,000

 

·      Cobra retains a 1% Net Profit Royalty from any future production
from the tenement area

 

The Prince Alfred Project

 

·      The project is located within the Adelaide fold belt where Prince
Alfred covers 9km(2) of the historical Prince Alfred Copper Mine where ~40Kt
at 3-5% were produced from 1870-1910

 

·      Prince Alfred does not form part of the Company's ongoing
strategy which is predominantly rare earth, uranium, and gold focused

 

Related Party Transaction

 

David Clarke, Director, Business Development and Asset Marketing at Cobra is a
related party by virtue of being a director of both Cobra and TC Development.

 

Neither the grant of the Option Agreement nor the exercise of the Option
Agreement requires shareholder approval under the Companies Act 2006 or
pursuant to the Listing Rules as the value of the option and the consideration
which may be achieved are below all relevant thresholds.

 

Rupert Verco, CEO of Cobra, commented:

 

"The Prince Alfred project has never formed part of the Company's exploration
strategy owing to the limitations in defining a copper resource of scale.
Divesting this project aligns with the Company's strategy to focus its
resources on the Boland ionic rare earth discovery and advancing the mining
concept of low cost, low impact in situ recovery."

 

Enquiries:

 

 Cobra Resources plc                           via Vigo Consulting

 Rupert Verco (Australia)                      +44 (0)20 7390 0234

 Dan Maling (UK)

 SI Capital Limited (Joint Broker)             +44 (0)1483 413 500

 Nick Emerson

 Sam Lomanto

 Global Investment Strategy (Joint Broker)     +44 (0)20 7048 9437

 James Sheehan                                 james.sheehan@gisukltd.com

 Vigo Consulting (Financial Public Relations)  +44 (0)20 7390 0234

 Ben Simons                                    cobra@vigoconsulting.com

 Kendall Hill

 

The person who arranged for the release of this announcement was Rupert Verco,
Managing Director of the Company.

 

About Cobra

 

Cobra is defining a unique multi-mineral resource at the Wudinna Gold and Rare
Earth Project in South Australia's Gawler Craton, a tier one mining and
exploration jurisdiction which hosts several world-class mines. Cobra's
Wudinna tenements totalling 1,832 km(2), and other nearby tenement rights
totalling 2,941 km(2), contain highly desirable and ionic rare earth
mineralisation, amenable to low-cost, low impact in situ recovery mining, and
critical to global decarbonisation. Additionally, Cobra holds a 213 km(2)
exploration tenement in northern Tasmania which is also considered highly
prospective for ionic rare earth mineralisation.

 

Cobra's Wudinna tenements also contain extensive orogenic gold mineralisation
and are characterised by potentially open-pitable, high-grade gold
intersections, with ready access to infrastructure. Cobra has 22 orogenic gold
targets outside of the current 279,000 Oz gold JORC Mineral Resource Estimate,
and several iron oxide copper gold (IOCG) targets.

 

Follow us on social media:

 

LinkedIn: https://www.linkedin.com/company/cobraresourcesplc
(https://www.linkedin.com/company/cobraresourcesplc)

Twitter: https://twitter.com/Cobra_Resources
(https://twitter.com/Cobra_Resources)

 

Subscribe to our news alert service: https://cobraplc.com/news/
(https://cobraplc.com/news/)

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