Mineral & Financial agrees extension for Lagoa Salgada study

23rd Jun 2023 11:33

(Sharecast News) - Mineral & Financial Investments announced an extension to the final delivery date of the feasibility study for the Lagoa Salgada project on Friday.

The AIM-traded firm and its joint venture partner Ascendant Resources had agreed on the extension, pushing the deadline to on or before 3 August.

Under the terms of the extension, Ascendant granted MAFL 500,000 common share purchase warrants.

The warrants would enable M&F to purchase one common share in Ascendant for each warrant exercised.

It said the warrants could be exercised at any time within a period of 30 months, while the exercise price was set at 20 cents per share.

The extension of the feasibility study delivery date would allow M&F and Ascendant additional time to complete the necessary assessments and evaluations for the Lagoa Salgada project.

"As set out in the announcements of 25 May and 15 July 2022, M&F currently holds a 50% interest in the Lagoa Salgada project through its position in Redcorp - Empreendimentos Mineiros, with Ascendant holding the other 50%," the board explained in its statement.

"Ascendant has an earn-in opportunity to increase its interest in the project to 80% of the Lagoa Salgada project through the completion of a feasibility study by the agreed deadline."

At 0854 BST, shares in Mineral & Financial Investments were down 0.2% at 17.47p.

Reporting by Josh White for Sharecast.com.