CANADIAN gemstone mining and marketing firm Fura Gems Inc has confirmed the successfully acquisition of a 100% interest in ruby prospecting licence No 5572L in Mozambique’s Montepuez district in the province of Cabo Delgado.

The Toronto-based company first announced the acquisition in July after signing the Share Purchase Agreement (SPA).

Confirming the purchase in a statement is the company’s CEO Dev Shetty who also detailed the company’s plans henceforth.

“We are pleased to announce the successful acquisition of the licence, which covers an area located in the main ruby producing belt of the Montepuez district of Mozambique,” said Shetty.

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“We have already completed the first phase of production drilling and have begun commissioning the wash plant, which we expect to be completed by the end of 2019.”

Shetty said the gemstone mining and marketing company also expected to start bulk sampling at the 100 square kilometre licence area before the end of 2019, while continuing exploration activities.

Pursuant to the agreement, Fura issued more than 1.3 million of its common shares in exchange for Azores Overseas transferring 100% of the quotas of Mozambican Ruby, which owns a 100% stake in the licence 5572L, to Fura’s wholly owned subsidiary.

Fura paid $381,000 in cash to Azores, and an additional $993,900 to discharge certain liabilities of MRL upon closing of the acquisition.

The company said the acquisition was done at arm’s length, in keeping with the regulations of the TSX Venture Exchange. Fura did not pay any finder’s fees in connection with the deal. The Fura shares are subject to a regulatory hold period of four months and one day, expiring on February 18, 2020.

Currently, Fura is in the process of completing the purchase and sale of stakes in three additional Ruby prospecting licences in Mozambique.

Fura Gems is engaged in the mining, exploration and acquisition of gemstone licences and owns a 76% interest the Coscuez emerald mine in Boyacá, Colombia.

The company explores and mines rubies in Mozambique through its 80% interest in 4392L, 3868L, 3869L and 6811L ruby licences and its 100% interest in 5572L.

The firm is also set to break into the world of sapphire mining in Australia as it has struck an option deal with Richland Resources Ltd to buy the Capricorn project in Queensland.