Oar Resources (ASX:OAR) sells non-core Bramfield iron ore project – The Market Herald

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  • Oar Resources (OAR) enters into a definitive and binding agreement to sell its Bramfield iron ore project in South Australia to a Vietnam-based company
  • Hoa Phat Group will purchase the non-core asset for $500,000, of which $100,000 was paid as a deposit by the company’s subsidiary, Dragon Resource Investment.
  • Oar Resources says the sale of Bramfield is part of its ongoing strategy to rationalize its portfolio and generate cash from non-core assets to apply funding to key initiatives
  • The company says it will continue to evaluate opportunities to sell other non-core assets that generate non-dilutive cash and improve its balance sheet
  • Oar Resources shares trade up 10% at 0.6 cents

Oar Resources (OAR) has concluded a final and binding sale agreement for its Bramfield iron ore project in South Australia to a Vietnam-based company.

Hoa Phat Group will purchase the non-core asset for $500,000 in cash, of which $100,000 was paid as a deposit by the company’s subsidiary, Dragon Resource Investment.

Oar Resources said the sale of Bramfield was part of its ongoing strategy to rationalize its portfolio and generate cash from non-core assets to apply funding to key initiatives.

According to the company, the Bramfield project did not add any value nor was it one of its priorities at any time.

The company believes that other operations such as its Crown nickel-copper-PGE project in Western Australia and its gold assets offer better opportunities to increase shareholder returns.

Following the sale of Bramfield, the company said it would continue to evaluate opportunities to sell other non-core assets to generate non-dilutive cash and improve its balance sheet.

Oar Resources CEO and Managing Director Justin Richard described the sale of the Bramfield project as a great result for the company.

The shares were trading up 10% at 0.6 cents at 2:13 p.m. AEDT.

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