Cape Lambert Resources intends to implement a second on market share buy-back as part of a capital management program to regain about 10% of the company’s issued share capital. The earliest that the company would be permitted to buy back any shares on market will be 23 January 2014.
The ASX-listed Australian resources and investment company completed the first by-back in early January 2014, acquiring and subsequently cancelling over 21.1-million shares for more than A$3-million.
“Cape Lambert retains significant cash and liquid assets and despite being presented with a range of investment opportunities, following review of these opportunities, the board has determined that at the current share price, it is more prudent to undertake an on market buy-back rather than look to make investments outside of the company,” said executive chairperson Tony Sage.
Cape Lambert is developing the Marampa iron-ore project, in Sierra Leone. A 15-million-tonne-a-year scoping study was completed in late 2012, based on a Joint Ore Reserves Committee-compliant resource of 681-million tonnes, at 28.2% iron, covering four deposits.