Robust receives $6.3m installment for sale of Romang Island project
Tuesday, October 30 2012 - 02:02 AM WIB
Australian-listed firm Robust Resources Ltd said that it has received the third cash installment of A$6.3 million from PT Kilau Sumber Perkasa (KSP) for the sale of a 22.5 percent of PT Gemala Borneo Utama (GBU), which holds the rights over Romang Island mining project.
Robust said in a statement issued Tuesday that the latest installment made by KSP, a unit of the Indonesian well-diversified Salim Group, brings the total amount received to nearly A$19 million.
Under the sale agreement, PT KSP has subscribed for shares in PT GBU in five equal installments, the aggregate investment totaling A$31.57 million, Robust said.
Robust has also confirmed that another member company of the Salim Group, Droxford International Limited, has continued to invest in Robust Resources Limited and is now the company?s largest shareholder, with a 19.7 percent stake.
?Robust is very well funded with around $30 million in cash and receivables, and the third PT KSP?s installment only strengthens our ready cash position. It?s particularly encouraging that we have a trusted and well-regarded local Indonesian partner that is investing at both project and company level,? said Robust Managing Director Gary Lewis.
?Robust?s strong financial position gives us the necessary financial flexibility to continue developing and exploring the Romang Island Project and we have an active exploration and development programme which is ongoing. We are also assessing other growth opportunities in Asia and other markets that have the potential to further strengthen our project portfolio,? he added.
Editing by Reiner Simanjuntak