Strategic Minerals To Acquire Balance of Redmoor

March 18th 2019

Strategic Minerals plc, a producing mineral company actively developing projects prospective for battery materials, is pleased to announce that it has entered into arrangements with New Age Exploration Limited (“NAE”) to acquire its entire 50% shareholding in Cornwall Resources Limited (“CRL”), the joint venture vehicle developing the Redmoor Tin/Tungsten project in Cornwall (“Redmoor”), for a total capped purchase price of £2.66 million.

The Acquisition is subject to approval by NAE shareholders at a general meeting and upon completion of the Acquisition, CRL will be 100% owned by SML. The purchase price has been structured to reflect expected future SML cash flows and a significant component of the purchase price will be determined by future production revenues.


  • SML acquires full control of Redmoor, subject to ratification of NAE shareholders at a general meeting.
  • Purchase price for 50% of CRL set at a maximum of £2.66m payable in three stages as follows:

i.£1.06m in cash within 30 days of approval by NAE shareholders

ii.£0.54mSML promissory note payable 180 days after settlement

iii.A royalty stream of 1.5% of Net Smelter Revenue from Redmoor production capped at £1.06m

Commenting, John Peters, Managing Director, Strategic Minerals, said:

The recent resource upgrade has highlighted the potential world class nature of the Redmoor Tin/Tungsten project and has given the Board confidence to consolidate control. To date, SML has progressed Redmoor in conjunction with its joint venture partner, NAE, and is delighted that this opportunity has arisen to acquire total control of the project. Whilst the Acquisition is subject to approval by NAE shareholders at a general meeting, we consider this will be forthcoming within around a month, and SML will then have a further 30 days to settle the Acquisition.

SML has valued working with NAE in developing Redmoor and is pleased to have agreed a fair and mutually beneficial transaction.As a UK listed company with full ownership of a flagship UK based project, SML is proud to play a significant role in the renaissance of the Cornish mining industry.

Whilst the Company has sufficient cash resources to fund the acquisition of NAE’s interest in Redmoor, it is exploring non-dilutive funding alternatives with a select group of potential investors, at both a holding company and project level. Taking full control of Redmoor provides a significant benefit to the Company as it allows it to, solely, set the timing of project developments and, hence, the potential need for cash flow.

The Company considers this Acquisition to be an exciting opportunity and, in conjunction with our team and local stakeholders, looks forward to the next phase of development for CRL. SML believes, such development will further demonstrate the potential size and scope of the project and its position in a global context.

Shareholders are advised that Strategic Minerals’ Chairman, Alan Broome, is also the Chairman of NAE and that, after making the Board of Strategic Minerals aware of the Redmoor opportunity, he recused himself from any further dealings with the Acquisition including any voting at Board level in both the Company and NAE.

Related Articles:

Cornwall Resources Ltd – Exploration Drilling Planning Application

Cornwall Resources Ltd – Exploration Drilling Planning Application

Location: Callington Town Hall The Town Hall, New Road, Callington, PL17 7BD Dates: Wednesday 18th January 1:00 pm – 3.30 pm Friday 20th January 5.30 pm – 7.30 pm Saturday 21st January 10:00 am – 12:00 pm Cornwall Resources Limited (CRL) is the operating company for...

Mining Update October 2022

Mining Update October 2022

Excerpt from the Western Morning News Thursday 29th September 2022 'As the Cornish Mining Conference takes place in Falmouth this week, demand for secure supplies of  metals and minerals in an increasingly volatile world presents a huge opportunity for Cornwall and...

Cornwall Resources Ltd Community Update Event

Cornwall Resources Ltd Community Update Event

Location: Callington Town Hall Town Hall, New Road, Callington, PL17 7BD Dates: Wednesday 12thOctober at 5:30pm - 8pm Thursday 13thOctober at 2:30pm - 5:30pm Friday 14thOctober at 4pm- 7pm. Cornwall Resources Limited (CRL) is the operating company for the Redmoor...