Mineral Commodities announces that its wholly owned subsidiary MRC Graphite Norway Pty Ltd has entered into a binding, conditional share purchase agreement with Norge Mineraler Holding AS, for the sale of 100% of the shares in Skaland Graphite AS.
Norge Mineraler is a Norwegian mineral exploration company headquartered in Norway and a 100% subsidiary of the UK based Norge Mining Ltd. and has no relation to the Company.
Skaland is the owner and operator of the Skaland Graphite Project (“Skaland Project”).
As noted in the Company’s recent announcements, most recently on 26 November 2024, the Company has been progressing exclusive discussions about the sale of 100% of Skaland. These discussions have culminated into the entry into the Transaction.
Consistent with the Company’s business objectives and strategy, if completed, the Transaction will allow the Company to focus its efforts and its capital on its high-quality Munglinup Graphite Project and downstream active anode plans in Australia.
The Company’s Chief Executive Officer, Mr Scott Lowe commented:
“This is a critical Transaction representing a major turning point for MRC. The aim of this deal is to transform MRC into a much simpler, more focused company with a clearer path to value growth. Selling Skaland will allow MRC to strengthen its balance sheet and concentrate entirely on the Munglinup graphite project in Western Australia and the downstream active anode project. The Company’s streamlined business strategy will be to advance and develop these two (2) excellent projects and take advantage of the global focus on critical and battery minerals that includes graphite. MRC will also continue good faith negotiations with its JV partner with the objective of increasing its interest in Munglinup from 51% to 100%.”
“We are very pleased for the employees and other stakeholders at Skaland that upon completion of the Transaction, the new owner will be Norge Mineraler. Norge Mineraler is an excellent company with extensive experience in Norway and has the technical and financial capability to make Skaland a success. MRC wishes Norge Mineraler and everyone at Skaland all the best for a strong and prosperous future.”