Red Rock Resources sells Colombian assets

LONDON (ShareCast) - Gold miner Red Rock Resources (LSE: RRR.L - news) has reached an agreement to sell its El Limon gold assets to Colombia Mining for $5m (£3.4m). The London-listed group said the payment for the sale of its Colombian assets included $100,000 it had already received and up to $3m in future royalty payments.

Red Rock chairman Andrew Bell hailed the deal as a positive result for the company, which had been working on the sale for almost a year, adding that CML represented an excellent buyer.

"The purchasing group at CML combine geological and engineering skills with a historic knowledge of El Limon, as well of as the regional potential for sourcing additional ore for the plant," Bell said.

Red Rock Resources shares were down 9.40% to 0.0906p at 09:45 on Tuesday.