Update on Joint Venture Partner Yankuang's Outstanding Cash Calls
Perth, June 28, 2013 AEST (ABN Newswire) - Further to the announcement dated 17 April 2013 regarding Yankuang Resources Pty Ltd ("Yankuang") outstanding cash calls payable to the Bauxite Alumina Joint Venture ("BAJV"), Bauxite Resources Limited (
ASX:BAU) wish to inform the market that as of 26 June 2013, these payments, including the sum owing to BRL referred to in the announcement of 17 April, remain outstanding.
BRL continues to work with Yankuang with respect to these outstanding amounts and have received an update on the progress of regulatory approvals required for the payments to be made to BAJV. Yankuang have now received the Overseas Investment Certificate from the Department of Commerce of Shandong Province and this completes the regulatory requirements in China for these payments to be made.
Yankuang has confirmed to the company that following these approvals payment will be made in the next 10 working days.
Yankuang's obligations under the joint venture agreement are guaranteed by its parent company, Yankuang Group Limited.
Yankuang is required to pay interest on the outstanding cash calls at the rate of 3% above the 90 Bank Bill Swap Rate.
Based on Yankuang's recent advice, BRL believes this situation will be resolved in the coming weeks and all outstanding amounts to BAJV and BRL will be repaid with interest.
View the Release here:
http://media.abnnewswire.net/media/en/docs/ASX-BAU-640035.pdf
About Bauxite Resources Limited
Bauxite Resources (ASX:BAU) (OTCMKTS:BXRDF) was established with a substantial tenement holding in Western Australia to develop new bauxite supply for the global alumina/aluminium industry. The Company listed on the Australian Securities Exchange (ASX) in October 2007.
The Darling Range in the south-west of Western Australia (WA) is the world's largest bauxite mining and alumina refining region producing around 20% of the world's alumina. This area has mined bauxite and refined alumina since the 1960s. These industries are leaders in sustainable resource development and represent the fifth largest sector of WA's resource industry.
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