AIM: FOX 18 August 2014
Fox Marble Holdings plc
("Fox Marble" or the "Company")
Completion of Acquisition of Prilep Omega Sivec Quarry
Fox Marble (AIM:FOX), is pleased to announce that it has entered into a sub-lease arrangement with New World Holdings (Malta) Limited in relation to the new Omega Sivec marble quarry at Prilep in Macedonia. This new quarry site is adjacent to the Company's existing operations in Prilep.
As previously announced the consideration for the sub-lease is £1,000,000 and a subsequent 40 per cent. gross revenue royalty obligation. The sub-lease has an initial term of 20 years, extendable by the Company for a further 20 years. The sub-lease grants the Company the exclusive right to quarry, process, remove and sell marble from the quarry.
The Company will pay for and provide all the equipment and staff required to operate this quarry. Fox Marble estimates that the quarry will require approximately £600,000 of capital expenditure investment to reach commercial production, which is expected within six months.
Sivec marble is currently amongst the most desirable marble in the market and is in short supply. The Company is aware of only one other quarry that currently produces commercial quantities of Sivec marble and supply of the highest quality material is being exhausted. Sivec marble prices begin from €500 per metric tonne (unprocessed) for the lesser grades, and is the highest value marble in the Company's range.
Chris Gilbert, CEO, commented: "Following the placing to raise £4.75 million last month, we are pleased to already be on track with regards to this acquisition. Sivec is a highly sought after marble and key for the development of Fox Marble's portfolio. We look forward to updating shareholders with the progress of the Prilep Omega Sivec quarry."
Fox Marble Holdings plc |
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Chris Gilbert, Chief Executive Officer |
Tel: +44 (0) 20 7380 0999 |
Fiona Hadfield, Chief Financial Officer |
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Fox Davies Capital Limited (Nominated Adviser and Broker) |
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Jonathan Evans |
Tel: +44 (0) 20 3463 5000 |
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Yellow Jersey PR |
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Dominic Barretto/ Kelsey Traynor |
Tel: +44 (0) 77 9900 3220 |
Notes to Editors
Fox Marble Holdings Plc is an AIM quoted natural stone extraction Company operating in Kosovo and the Balkans region, with headquarters in the United Kingdom.
The Company has been granted mining licenses in relation to six separate marble quarries and has completed a maiden JORC resource indicating an in-situ valuation of approximately Euro 16.5 billion. Established in 2011, Fox Marble has access to over 300 million cubic metres of premium quality marble.
Fox Marble also has rights to extract grey marble from the Drini quarry and cream and white grey marble from the Malesheva quarry, both in Kosovo and white Sivec marble from the Prilep Quarry in Macedonia.
