Resource Generation Ltd : Sale of Tasmanian assets
08/30/2011| 08:10pm US/Eastern
31 August 2011ASX ReleaseSale of Tasmanian Assets
Resource Generation Limited has agreed to divest its Tasmanian coal tenements through the sale of all its shares in Energy Investments Pty Limited and Tiger Coal Pty Limited for $1.5 million. In addition, Resource Generation will receive a royalty of $1.20 per tonne on all coal sold from any mine developed on these tenements.
Following exploration and analysis the potential for the development of a mine, whilst present, would require funding and personnel commitments that would detract management from its main asset, the proposed Boikarabelo coal mine in South Africa, where there are probable reserves of 745 million tonnes of coal on 35% of the company’s tenements.
Completion of the sale is targeted for 16 September 2011. The purchaser, which is a private company, has paid a non-refundable deposit of $150,000.Contacts
Paul Jury, Managing Director on (02) 9376 9000 or
Steve Matthews, Company Secretary on (02) 9376 9000Media enquiries
Anthony Tregoning (02) 8264 1000
Resource Generation has coal interests in South Africa and Tasmania. Its current priority is to develop its planned Boikarabelo mine in the Waterberg region of South Africa where there are probable reserves of 744.8 million tonnes of coal on 35% of the company’s tenements.
Resource Generation Limited (ACN 059 950 337) www.resgen.com.au
Level 12 Chifley Tower, 2 Chifley Square, Sydney NSW 2000
GPO Box 5490, Sydney NSW 2001. Phone +61 2 9376 9000 Fax +61 2 9376 9013