said April 29 thatits board has approved a capital return of 5 Australian cents per share, totalingabout A$10.7 million, following the completion of the sale of the company's interestin the Bauxite Alumina Joint VenturesPty. Ltd. to its Chinese joint venture partners Yankuang Resources Pty.Ltd. and Yankuang Group Co. Ltd.
Final agreementsover the sale were signedin November 2015. According to Bauxite, it recently received a duly executed deedof variation and assumption from MercatorMetals Pty Ltd, which was required to complete the assignment of thebauxite rights over the Fortunadeposit in Western Australia to Yankuang, in accordance with the 2015 deal.
With the conclusionof the sale, Bauxite holds surplus cash and the proposed capital return, if approvedby shareholders, will be paid before the end of the financial year.
The company'scurrent cash reserves are over A$27.3 million and the payment of the capital returnwill leave Bauxite with A$16.6 million cash retained, no debt and other substantialassets.
Bauxite alsosaid it continues to consider a number of proposed investment opportunities andreview undertaking further capital management initiatives in the future.