Delrand Resources, a diamond mine explorer in the Democratic Republic of the Congo (DRC), said it could sell all of its exploration licenses for $1.
The company said the challenge faced in moving forward with its African mineral exploration business was one of the reasons why it recommended its shareholders vote in favor of the merger and asset disposal.
Rapaport reports that Delrand’s board had already issued a unanimous recommendation to shareholders in favor of the resolution to dispose of the DRC assets to a third party for consideration of $1.
The disposal of Delrand's diamond mining licenses was part of a reverse merger agreement with biometrics company VoiceTrust Holding to allow the merged company to exit the mineral exploration business and focus on the biometric solutions market, Rapaport reports.
Delrand had less than $32,000 in cash on hand and current liabilities of more than $625,000 as of June 30, 2014.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
