Red Rock Resources sells interest in Jupiter Mines

5th Jul 2013 14:11

Red Rock Resources has sold a 67.3 per cent stake in Jupiter Mines for 2.8m Australian dollars. The mining company, which has an iron ore project in Greenland, a producing gold mine in Colombia, and interests in steel feed, said 40.5m shares were disposed.Red Rock now owns 19.6m shares in Jupiter.Proceeds of the sale will be used to repay debt and for working capital purposes.Chairman Andrew Bell said: "This recent sale process completes the retirement of the debt instrument managed by Cornhill Capital, and further reduces the existing term loan facility with YA Global to more manageable levels, besides providing funds for operations. "We continue to deleverage the business as the sector remains weak and prospects unpredictable, while we progress planned sales of assets in Greenland and Colombia." Red Rock's shares dipped 6.33% to 0.37p at 13:11 on Friday.RD