Adelaide Resources exits mineral sands with Iluka sale

The assets include Adelaide Resources' 49 per cent stake in the Colona mineral sands project in South Australia, a joint venture with Iluka.

Adelaide Resources said Iluka's focus on its larger, wholly owned Jacinth-Ambrosia project, also in SA, meant progress on the Colona project had stalled and its development was uncertain.

"The company's directors do not consider a continuing involvement in the mineral sands industry to be warranted," Adelaide Resources said.

"Instead, the company intends to focus its future efforts towards the discovery and development of copper-gold deposits."

The sale will lift Adelaide Resources' cash balance to $8 million and place it in a financial position to pursue opportunities in the prevailing market, the company says.