Rockfire completes final payment for Hellenic Minerals acquistion

(Sharecast News) - Rockfire Resources announced on Thursday that it has completed the final payment for its acquisition of Hellenic Minerals, which holds the 30-year licence for the high-grade Molaoi zinc-lead-silver deposit in Greece.

The AIM-traded firm said the payment was triggered by the company exceeding the required JORC-compliant zinc-equivalent resource threshold, confirming Molaoi's substantial potential.

Under the terms of the acquisition, Rockfire said it was issuing 185 million new shares at 0.162p each, valuing the final tranche payment at £0.4m.

It followed the company's announcement on 4 September that Molaoi contained a JORC-compliant resource of 1.5 million tonnes of zinc-equivalent metal, significantly surpassing the 400,000-tonne milestone required to complete the deal.

The original agreement stipulated an equal split between cash and shares for the final tranche, but the terms had since been amended to £0.1m in cash and £0.3m in shares.

Rockfire chief executive officer David Price, who first identified the Molaoi project in 2005, would be entitled to a portion of the payment under a longstanding agreement with Hellenic.

He had opted to receive 72.5 million of the allotted shares, but deferred receipt of his £50,000 cash entitlement until a later date.

With full ownership of Molaoi secured, Rockfire said it was now positioned to advance exploration and development of the project.

At 1447 GMT, shares in Rockfire Resources were down 2.13% at 0.12p.

Reporting by Josh White for Sharecast.com.