Peak Resources Limited (ASX:PEK) Funding Update with Significant Investor
June 3, 2013 — Perth (Source: ABN Newswire) — The Directors of Peak Resources Limited (ASX:PEK) (OTCMKTS:PKRLY) are pleased to provide an update on the negotiations currently underway with a significant Cornerstone Investor (“Investor”).
As announced on 22 April 2013, Peak entered into a non-binding Memorandum of Understanding (“MOU”) for a transaction that will provide funding for the on-going development of the Ngualla Rare Earth Project. (“Ngualla”)
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As advised, a condition of the MOU is completion of the Investor’s due diligence process which includes technical and legal review. A site visit to Ngualla has been successfully concluded to the satisfaction of the Investor’s senior management representatives and the due diligence process is largely complete. However due to a delay in the site visit, completion of the due diligence could not be achieved by the end of May.
The Company is satisfied with negotiations to date and can confirm that the major terms and conditions have been agreed with only some minor terms that remain outstanding. Peak and the Investor are continuing to work together to finalise all outstanding matters and the Company remains confident that the formal agreement will be finalised in the near future.
About Peak Resources Limited
Listed on the Australian Stock Exchange (ASX:PEK) in November 2006 and based in Perth, Western Australia, Peak Resources Limited is developing the Ngualla Rare Earths Project in southern Tanzania. Peak also holds a number of gold projects comprising a mix of brownfield, greenfield and advanced exploration prospects in the highly prospective Lake Victoria Goldfields area of Tanzania.
Peak’s goal is to generate shareholder value through:
- Development of the exciting new high-grade, low uranium and thorium Ngualla Rare Earth discovery into production
- Exploring for niobium-tantalum and phosphate at Ngualla to generate a pipeline of additional commodities
- Discovery of new gold deposits within its large, highly prospective portfolio of exploration projects in Tanzania
- Aggressive new project acquisition programmes in East Africa
Peak’s head office is located in Perth, Western Australia with an exploration office in Mwanza, Tanzania.