CHINA HANKING HOLDINGS LIMITED Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
中國罕王控股有限公司
(incorporated in the Cayman Islands with limited liability)
(Stock code: 03788)This announcement is made by China Hanking Holdings Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Chapter 571, Laws of Hong Kong).
The board of directors of the Company (the "Board") is pleased to announce that Hanking Gold Mining Pty Ltd ("Hanking Gold"), a wholly-owned subsidiary of the Company, acquired 100% interest of the Redwing gold deposit in Australia on a one-off basis.
Hanking Gold reached an agreement with AUDAX MINERALS PTY LTD, an Australia company after amicable negotiation, pursuant to which, Hanking Gold acquired 100% interest of the Redwing gold deposit of AUDAX MINERALS PTY LTD at a consideration of AUD700,000 in cash. Redwing gold deposit is located at the south of the metallogenic belt of SXO Gold Project (Figure 1), approximately 50 kilometers from the Marvel Loch Processing Plant (the "Processing Plant"), which is 100% owned by Hanking Gold, enjoying convenient transportation. Ore from Redwing gold deposit could be transported to and processed by the Processing Plant. The Redwing gold deposit has 1,400,000 tonnes JORC Code-compliant ore resources at an average grade of 2.4 gram/tonne for 108,000 ounces gold (Table 1). The resource is defined by a drilling with 150 drill holes, and includes multiple gold lodes (Figure 2). The ore bodies are near surface and suitable for open pit mining. The Redwing gold deposit is in a 5 square kilometres exploration license areas and Hanking Gold has applied an exploration license for 67 square kilometres area around it. Hanking Gold has made the full payment of AUD700,000 and completed the relevant legal procedures for the acquisition. The successful acquisition of the Redwing gold deposit extended the strike length of the metallogenic belt of the SXO Gold Project of Hanking Gold to 150 kilometres. Hanking Gold currently has 3,034,000 ounces JORC Code-compliant gold after its mining depletion (Table 1).
Dr. Qiu Yumin, the executive director of the Company and president and chief executive officer of Hanking Gold expressed that, "the successful acquisition of Redwing gold deposit represents an important step in implementation of the Company's strategy in the SXO Gold Project regional consolidation, which is beneficial for the full utilization of the advantages of infrastructures such as Hanking Gold's Processing Plant and the achievement of synergies and scale effects, and paves the way for creating greater value for the shareholders of the Company as a whole".
At present, the Company is carrying out preparation work for Redwing gold deposit, such as supplementary exploration, resource upgrades as well as other development preparation, and plans to put Redwing gold deposit into production to extend the life of mine as early as possible. Hanking Gold made its first gold pour in February 2015 and went to commercial production in August 2015. It has produced 12,019 ounces gold in the month of December 2015.
Dr. Pan Guocheng, the executive director, president and chief executive officer of the Company expressed that, "this acquisition is an initial progress achieved by the Company on the way of vigorously implementing strategies of the gold section, and the Company will continue to seek development opportunity on high-quality gold projects which could create value for the shareholders of the Company, so as to continuously develop the gold business".
FIGURE 1 - MAJOR GOLD MINES OF HANKING GOLD'S SXO GOLD PROJECTChina Hanking Holdings Ltd. issued this content on 2016-01-08 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 2016-01-08 13:17:06 UTC
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