St George Mining (ASX:SGQ) plans to acquire the high-grade Araxa niobium-REE project in Brazil's Minas Gerais, the miner said in a Tuesday filing with the Australian bourse.
Under the binding conditional agreement the miner signed, it will acquire all the issued capital of Itafos Araxá Mineracao E Fertilizantes, the entity which wholly owns the Araxá project, the filing said.
St George Mining will pay Itafos $10 million at the close of the transaction, with deferred payments of $6 million in nine months and $5 million in 18 months, it said.
Shares of St George Mining jumped nearly 24% in recent trade.
Price (AUD): $0.04, Change: $+0.01, Percent Change: +23.53%
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