Coloured gemstone producer Fura Gems announced that it has acquired nine more ruby assets in the Montepuez district of Mozambique’s Cabo Delgado province for $15 million, payable in $3 million cash and 12.7 million Fura shares.
The acquisition, from ASX-listed Mustang Resources Ltd. and Regius Resources Group Ltd., will mean that together with its existing assets in the area, Fura will hold the largest ruby land package in Mozambique of 1,104 sq. km.
Fura said it is acquiring the assets free of debt and will also acquire the related infrastructure, which includes two wash-plants, security set-up, mine camps and other related infrastructure. The company added that it expects to commence bulk sampling activities of rubies by the end of this year and commence auction sales from the third quarter of 2019.
Fura’s Mozambique operations will be run by its newly formed team of gemstone experts who were previously involved with discovering and successfully building the world’s largest ruby mine in Mozambique, owned by Gemfields.
Fura Chief Executive Dev Shetty commented, “I am pleased to announce the merger of these ruby assets with those of our existing licenses in Mozambique, transforming Fura into the largest ruby group by licence area in the country. Our team has in-depth experience in the Mozambique ruby sector, having previously worked in Mozambique since 2011, where they were instrumental in discovering and developing what is largely considered the world’s largest ruby deposit.”
He added, “Based on our extensive work in-country, we believe these combined licenses to be some of the highest quality ruby licenses available in Mozambique. The initial ground work has already been done by Mustang and Regius, including significant exploration and the construction of two wash-plants.”
Shetty ended by noting, “Following completion of the acquisition, we plan to commence a significant bulk sampling project within these licenses in the next few months, with the mid-term objective of creating another world class, cash generative ruby mine to complement our iconic Coscuez emerald mine in Colombia.”