Critical metals exploration and development company MetalsGrove Mining Limited (ASX: MGA) has entered into strategic agreements to acquire six, contiguous, and highly prospective lithium-tin-tantalum claims in Zimbabwe.
The company’s wholly owned subsidiary MetalsGrove Global Limited (MGG) has executed agreements with two local Zimbabwe entities:
– La Rich Resources Pty Ltd: Arcturas Lithium Project
– CN Mining Syndicate: Beatrice Lithium Project
Managing director, Sean Sivasamy, commented, “MetalsGrove is very excited to be acquiring these advanced lithium assets which provide the company with prime exposure to the proven lithium producing district in Zimbabwe. Importantly, the upfront acquisition terms are modest, allowing the company to set about rapidly advancing these projects through a targeted exploration campaign early next year. Further highlighting the near-term development potential of these projects, we will be located nearby to accessible high-quality infrastructure and a large-scale lithium processing facility.”
The total cash consideration for the assets is US$60,000 payable to the local entities upon transfer of the property to MGG. Each of the local entities will retain a 5% free carried interest in the respective projects until a decision to mine is reached.
The Arcturas Lithium Project (ALP) is 35km northeast of Harare and the Beatrice Lithium Project is located 55km south of Harare, including six new lithium claims of 510ha.
The ALP is close to the Arcadia Lithium Mine and Arcturas Gold Mine, and the region is the most well-known pegmatite zone that is mineralized in spodumene, lepidolite, beryllium, tantalum, and caesium.
The completion of the acquisition of the projects is conditional on MGG obtaining all necessary shareholder and regulatory approvals required to complete the acquisitions, and confirmation of the title and transfer of title to MetalsGrove.
The company expects the completion to occur within the next two weeks.
To find out more, please visit www.metalsgrove.com.au
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