Deals this week: West African Resources, Eurasian Resource, Blackham Resources

30 November 2018 (Last Updated June 9th, 2020 15:20)

West African Resources has awarded a $110m underground mining contract to Byrnecut Burkina Faso SARL (Byrnecut) for its Sanbrado gold project.

West African Resources has awarded a $110m underground mining contract to Byrnecut Burkina Faso SARL (Byrnecut) for its Sanbrado gold project.

The contract includes the construction of an underground portal at M1 South pit, decline and level development, ore driving, stope production, raise drilling, and cemented rock back-fill.

Byrnecut specialises in underground mining works, while West African Resources is engaged in gold and copper exploration.

Both the companies involved in the transaction are based in Australia.

Eurasian Resources has signed an agreement with Société Nationale d’Électricité (SNEL), ZESCO, and Rawbank for securing power supply for its Frontier copper mine.

ZESCO will supply 41MW to the mine, as part of the agreement.

Based in Luxembourg, Eurasian Resources is engaged in the production of diversified natural resources, while SNEL is an electric utility.

“Galaxy intends to use the proceeds raised from the transaction for the development of the Sal de Vida Project in Catamarca Province.”

Based in the Democratic Republic of the Congo, Rawbank is a commercial bank, while ZESCO is a Zambian power company.

Blackham Resources has executed a heads of agreement (HoA) with GWR Group for the exploration, development, mining and processing of gold resources at Wiluna West gold project.

A joint venture (JV) will be formed as part of the agreement, in which Blackham Resources will hold a 65% interest and GWR Group will hold the remaining 35%.

GWR Group will conduct drilling at the gold deposit as part of the agreement, while Blackham will undertake feasibility studies.

Both based in Australia, Blackham Resources is engaged in gold mining, while GWR Group is focused on iron ore exploration and production.

Centaurus Metals has signed an agreement with R3M Mineração (R3M) to divest its Conquista iron ore project in Brazil.

R3M has agreed to pay Centaurus $500,000, followed by additional payments, in addition to $1.5m upfront upon commencement of production as a production advance royalty.

Centaurus will receive a 12% production royalty on all future production from Conquista and other surrounding exploration tenements.

Centaurus Metals is an Australian mineral exploration company focused on iron ore, while Brazil-based R3M is a private mining company.

Galaxy Resources has sold the northern lithium tenement package at the Salar del Hombre Muerto in Argentina to POSCO for $280m.

POSCO will also earn the brine extraction rights of an additional five tenements worth $15m, subject to certain conditions.

Galaxy intends to use the proceeds raised from the transaction for the development of the Sal de Vida Project in Catamarca Province.

Based in Australia, Galaxy Resources is engaged in lithium mining, while POSCO is a South Korean steel manufacturer.