Rambler Buys Out 2% Net Smelter Royalty on the Ming Mine
LONDON, ENGLAND and BAIE VERTE, NEWFOUNDLAND AND LABRADOR--(Marketwire - Feb. 8, 2012) - Rambler Metals and Mining plc (TSX VENTURE:RAB)(AIM:RMM) ('Rambler' or the 'Company') is pleased to announce that it has purchased the Ming Mine's 2% net smelter royalty held by Philippine Metals Inc. (TSX VENTURE:PHI), formerly New Meridian Mining Corporation, for C$600,000. Before the buyout the mine had a 4.5% combined net smelter royalty held by four separate groups (See RMM press release April 7, 2010). Of the four net smelter royalties two included a buyout clause allowing Rambler to purchase 3% of the total net smelter royalty for a total consideration of C$1,100,000. Of greatest value to Rambler and the first to be purchased is Philippine Metals Inc. 2% net smelter royalty for C$600,000.
Arrangements are also being made to buyout the remaining 1% net smelter royalty. Upon removal of the combined 3% NSR, the Ming Mine will have a remaining 1.5% net smelter royalty. This is in addition to the gold only royalty held by Sandstorm Gold (TSX VENTURE:SSL) taken on as part of the project's financing.
Norman Williams, CFO commented: