PERTH, Australia, April 1, 2014 /CNW/ - Elemental Minerals Ltd. (ASX,TSX: ELM) ('Elemental' or 'the Company') is pleased to announce that one of the company's founding shareholders, Harlequin, has reached agreement with Pala Investments ('Pala') to acquire Pala's entire shareholding of 12.4% in Elemental.
Pricing is at a premium to the 5-day VWAP.
Harlequin will own approximately 19% of the Company.
Michael Barton, Pala's nominated director, has resigned from the board, effective immediately. Elemental would like to thank Michael and Pala for their counsel and support during the development of the company.
Commenting on the update, Elemental's CEO, Iain Macpherson stated: "I'm delighted that Harlequin was able to come to a successful agreement with Pala on acquiring this stake. As a founder, Harlequin has always been supportive of the Company's development of its outstanding Sintoukola potash project and I know that Elemental will continue to enjoy Harlequin's support. Elemental is in the process of finalising a new strategy for the development of not only the Kola project, but also the opportunities afforded by the broader Sintoukola licence and to enable delivery of value to all stakeholders. I'm excited by this significant development and look forward to updating the market in due course."
About Elemental Minerals
Elemental Minerals Limited (ASX/TSX: ELM) is an advanced mineral exploration and development company whose primary asset is the 93%-owned Sintoukola Potash Project in the Republic of Congo. ELM completed an advanced Pre-Feasibility Study on its Kola Project in September 2012 and was awarded a mining license and an environmental license in August 2013. The Sintoukola project has the potential to be among the world's lowest-cost potash producers and its strategic location near the coast of Central Africa offers a transport cost advantage to key Brazilian and Asian fertilizer markets. ELM has also identified a number of other targets on its license area which covers over 1400km with a significant amount of historical data available. For more information, visit www.elementalminerals.com
SOURCE: Elemental Minerals Limited
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