RNC Minerals (TSX: RNX) - Ooh na na, what's my name?

Matthew Gordon,
Ptolemy Capital

11:16
11 Months ago

Hot on the heal's of the announcement about the acquisition of Spargos and the proposed name change to Karora Resources. RNC Minerals has agreed to pay $9M (30% $2.7M immediately, the remaining 70% paid over 30-months $1.26M every 6-months). The Morgan Stanley royalty elimination is a highly accretive transaction. The 2% + 1.75% NSR buyback effectively lowers the mining cut-off grade. The Morgan Stanley royalty covers ~2/3rd of the 1.22Moz historic M&I Resource (18,790 kt @ 2.0 g/t) and 0.68Moz historic Inferred Resource (10,634 kt @ 2.0 g/t) at HGO as well as large portions of our exploration targets. This is a significant move. And the resulting contribution to the bottom-line will be felt for years. We calculate it to be in the tens of million of dollars.

#Karora Resources #Gold #Nickel #TSX #Paul Huet

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