China Armco Metals
China Armco Metals is engaged in China in the sale and distribution of metal ore and non-ferrous metals to the metal refinery industry in China
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China Armco Metals takes 19.9% stake in iron ore junior Apollo Minerals
Apollo Minerals (ASX: AON) has entered into a Subscription Agreement with US-OTC listed company China Armco Metals Inc (OTC BB: CNAM) for Armco to take up to a 19.9% interest in Apollo at a total subscription of A$4.3m.
The placement will involve an initial issue of 12.5m shares at $0.15 each, under the company’s existing 15% capacity, to raise A$1,875,000 before costs.
After shareholder approval is received, a further issue of 16.75m shares at $0.15 each to raise a further A$2,512,500 before costs.
China Armco Metals, Inc. is a U.S. based company doing business in China. Armco & Metawise (H.K.) Ltd., a wholly owned subsidiary of China Armco founded in July 2001, is engaged in the distribution of metal ores, steel scrap, and non-ferrous metals within China.
Apollo owns the exploration rights of three mineral tenements at
Mount Oscar in the Pilbara region of Western Australia, containing a
significant iron ore deposit.
In a statement Apollo said the
funds raised will be used to advance the company’s exploration
activities, to carry out processing option studies and to evaluate
opportunities to access local infrastructure and other project
opportunities.
Apollo has agreed to an offtake agreement to sell to Armco not less
than 15% of the off-take from its flagship Mount Oscar iron ore project.
Sevag
Chalabian, Apollo’s Chairman, believes the agreement with Armco will
play a key role towards advancing the company’s exploration success
along “with potential customers in the rapidly growing Chinese iron ore
and steel industries.”
Prior to entering into the Subscription
Agreement, Armco conducted an extensive due diligence, including a site
visit to the company’s flagship Mount Oscar project and believes the
project has the potential to become a significant iron ore project.
Other China Armco Metals news
- China Armco shares up 17% on iron ore distribution deal with Brazilian steel giant Mineracao Usiminas
2011-03-18 - China Armco Lowers 2010 Revenue and Profit Guidance Due to Blackouts
2010-09-10 - China Armco Metals reports strong Q2 results
2009-08-17
