Regency Mines, Direct Nickel see eye-to-eye on Mambare Project

15th Jul 2016 15:18

(ShareCast News) - Natural resource development and investment company Regency Mines posted an update on its Mambare Nickel Project in Papua New Guinea on Friday.The AIM-traded firm holds a 50% direct interest in the nickel-cobalt laterite project, which was operated as a joint venture with Direct Nickel (DNi).DNi had been unable to meet approved expenditure calls, and Regency had issued default notices followed by a buyout nice, and had begun discussions with DNi to take over its share of the project.Regency said DNi, under its new controlling shareholders, has indicated an intention to meet its share of expenditure obligations and has made a first payment of £44,032 to Regency in reimbursement of amounts due to the joint venture and previously advanced by Regency.It added that further amounts of £20,000 will be invoiced shortly."We welcome DNi's decision to continue our joint venture nickel activities," said Regency chairman Andrew Bell."The recent increase in the nickel price, and political developments in the Philippines, have improved the investment outlook for nickel projects and we look forward to working with the new DNi on advancing the Mambare project."