South African company Exxaro Resources has completed the sale of its Mayoko Iron Ore Project in Congo to Sapro.
The Mayoko Project was acquired by Exxaro in 2012 and its loss in production was announced in June 2014 due to a fall in iron ore prices.
Exxaro said that the situation is expected to continue for the foreseeable future.
The company approved a decision last year to sell the project after completing a commodity portfolio review and various internal and external commodity studies.
After receiving a interest from a number of parties, Exxaro concluded negotiations with Sapro and transferred the project ownership.
The Mayoko iron ore project consists of a tenement covering 1,000km² in West Africa.
Previously known as African Iron, Exxaro owns the Mayoko exploration licence that was initially held by DMC Mining, which had owned 80% of the property since December 2007.
The company acquired the licence in August 2010. In December 2009, DMC started drilling the mine.
Initially, the Mayoko exploration permit was due to expire in 2011, but was later renewed up to April 2013. The project then secured exploration permit in August 2013 for a further 25 years.
Exxaro has interests in the coal, mineral sands, iron ore and energy markets.