UK mining company acquires first operational stake in $7m deal

A UK mining royalty company has announced that it has completed the acquisition of stakes in its first iron ore operation.

Trident Resources, headquartered in London, reported today the completion of a purchase agreement to acquire a 1.5 per cent FOB royalty revenue in Australia’s Koolyanobbing Iron Ore Operation.

The deal was worth $7m (£3,858,575), and marks the company’s first transaction since setting up.

Trident said today that acquiring the operation will be “immediately” cash generative, as iron ore prices are higher than other ores in the current market.

Adam Davidson, CEO of Trident, commented: “We are delighted to announce the completion of Trident’s first transaction as a new growth-focused diversified royalty and streaming company.

“The acquisition provides Trident with an immediately cash generative iron ore royalty at a time where iron ore price continues to outperform other commodities and provides a strong initial platform from which to execute on our strategy.”