Asiamet Sells KSK Copper Project for $105M, Sets Dividend

Asiamet Resources has completed the sale of its Indokal subsidiary and its 100% interest in the KSK copper project to Norin Mining for $104.9 million in cash, driving a more than 12% jump in the company's share price. The transaction has enabled the board to approve a $93.0 million special cash payout to shareholders.

"Completion of the KSK sale represents a significant milestone for Asiamet and its shareholders and is the culmination of many years of work to advance the KSK Project," said Tony Manini, Asiamet's chairman, in a statement on the transaction.

Transaction Structure and Shareholder Payout

The cash consideration of $104.9 million for the Indokal subsidiary is subject to post-completion adjustments and accounts for debt obligations. The resulting $93.0 million special dividend translates to approximately $0.0268 per common share.

According to company disclosures, the distribution will be paid in pounds sterling on September 29. Shareholders on the register at the close of business on September 15 are eligible for the payout, with the ex-dividend date set for September 14.

What Lies Ahead for Asiamet

With the divestment of the KSK Project finalized, Asiamet’s principal remaining asset is the Beutong Project located in Aceh, Indonesia. The board is actively evaluating strategic options for the property and plans to provide a market update once a formal path forward is established with local stakeholder groups.

The asset sale and subsequent capital return mark a major transition for the mining firm, shifting its corporate focus away from KSK while returning the bulk of the transaction proceeds directly to investors.