Pampamali Option Update 2nd March 2016 FINAL

2 March 2016


Hunter Resources plc ("Hunter" or the "Company") (AIM: HUN)


Update on the Company's Pampamali Joint Venture


Further to the Company's announcement of 25 February 2016, the Company announces that it has not yet reached agreement with the Vendors in connection with the exercise of the Option and that the Vendors continue to obstruct the legal process. Definitions used in the Company's announcement of 25 February 2016 have the same meaning in this announcement.


The Company had previously given the Vendors until close of business (Peru Time) on 29 February 2016 to agree to comply with their obligations under the Joint Venture Agreement but, as of the date of this announcement, the Company had not received confirmation from the Vendors that they intend to comply.


The Company has accordingly commenced formal arbitration proceedings through the American Chamber of Commerce of Peru. The Company will continue to negotiate with the Vendors to try to reach a settlement and thus complete the legal formalities of the transfer of the title of the Pampamali tenements to HOLDCO.


In the event that:


  1. the Vendors fail to transfer title of the tenements at Pampamali to HOLDCO; and

  2. Gold Hunter SAC does not own a 51% interest in HOLDCO


by 4 July 2016 the Ordinary Shares will be suspended from trading on AIM at 07.30hrs on 5 July 2016. Trading in the Ordinary Shares will remain suspended until the Conditions have been fully satisfied. In the event the Conditions are not fully satisfied within six months of suspension then the admission to trading on AIM of the Ordinary Shares will be cancelled.


In the meantime, the Company is also reviewing several additional projects.


For further information, please contact:


Hunter Resources plc Simon Hunt (Chairman)


www.hunter-resources.com

Allenby Capital Limited

(Nominated Adviser and Broker)

Nick Naylor/John Depasquale/ Nick Harriss

+44 20 3328 5656


www.allenbycapital.com


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Hunter Resources plc issued this content on 02 March 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 02 March 2016 12:53:15 UTC

Original Document: http://www.hunter-resources.com/PDF/rns/02032015-Pampamali-Option-Update.pdf