Metro Mining Ltd
(ASX:MMI) has entered binding contracts to increase its ownership in Gulf Alumina Ltd for $8.5 million.
Metro’s increased ownership will be around 39% of Gulf’s total issued capital. The company will also acquire the shareholdings of four long-term Gulf shareholders.
This deal will be funded by an unsecured loan facility, and after this transaction, Metro’s cash position will be around $8.9 million.
Metro says its key focus continues to be near term developments of its fully owned Bauxite Hills Project in Cape York, while remaining open to unlocking synergies through the combination of Metro and Gulf projects.
Metro Mining posted a net loss of $6.8 million at 30 June 2016
