Kodal Minerals, through its wholly-owned subsidiary Future Minerals, has signed an agreement with Bambara Resources for exclusive rights to explore and an option to acquire Mafele Ouest and Nkemene Ouest concessions.
The two new licence areas cover 200km² and form the Bougouni West project. They are located within 25km of the advanced Bougouni Lithium Project in southern Mali, and close to the Goulamina Lithium project owned by Birimian.
With the new agreement in place, Kodal Minerals is planning a rapid exploration programme to take advantage of low-cost entry to the highly prospective ground.
The company will receive the right to acquire 80% of the concession areas through option payments totalling £185,000 in cash and £195,000 in Kodal shares over three stages.
Kodal Minerals CEO Bernard Aylward said: “While our primary focus continues to be the development of our Bougouni Lithium Project, this new option agreement is a fantastic opportunity for Kodal to expand in this highly prospective region.
“Kodal has undertaken initial ground reconnaissance during its due diligence review and has commenced the prioritisation of exploration targets for immediate follow-up.
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“We intend to continue the previously successful exploration programme of surface geochemistry, ground magnetics and drilling to attempt to define new lithium mineralised zones.”
Under the terms of the agreement, Bambara has agreed to grant exclusive access to Future Minerals to the concessions and rights to explore and mine them.
Kodal Minerals or Future Minerals will also make payments to Bambara to secure access to the concessions and to earn the 80% interest.
Following the completion of a feasibility study and lodging of the application, Kodal Minerals has the right to purchase the remaining 20% of the concessions.