Sterling Group Ventures has received an amended business licence from the Huaihua City Administration Bureau for Industry and Commerce covering a phosphate mining permit in Chenxi County, Hunan Province.
The amended licence has a term ending June 13, 2031 and allows Chenxi County Hongyu Mining Co, a company being acquired by Sterling Group's Hong Kong-based subsidiary Silver Castle Investments, to operate Hongyu's mining permit under foreign ownership regulations. The licence further acknowledges the acquisition of a 90% ownership interest in Hongyu by Silver Castle.
Hongyu is awaiting a new tax account number, organization code and foreign exchange account and is preparing plans to put its phosphate deposit into production. Sterling is currently reviewing other potential phosphate acquisitions.
Sterling Group has now received all required approvals from Chinese authorities for the completion of its acquisition of Hongyu and is reviewing its plan to increase production under its mining permit as well as reviewing other potential phosphate acquisitions.
Hongyu is a Chinese private mining company with connections and resources in Hunan. It is the holder of a phosphate mining permit in Chenxi County.