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June 1, 2022

Newmont Ventures to make strategic investment in Awalé Resources

Newmont’s subsidiary will also make staged exploration funding to earn up to a 75% stake in Awalé’s Odienné Project.

Newmont Ventures, part of US-based mining firm Newmont, has agreed to make a strategic investment in junior mining company Awalé Resources.

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Awalé will receive $500,000 in investment pursuant to a private placement. Newmont will hold a 10.49% stake in Awalé post-completion of the investment.

The junior miner plans to use these proceeds to fund the activities at the Côte d’Ivoire project, which currently has two primary targets including the gold-rich Empire corridor and the Sceptre Iron Oxide Copper Gold target.

Furthermore, Newmont Ventures agreed to sign an exploration agreement with a venture option on Awalé’s Odienné Project in north-west Côte d’Ivoire.

Newmont Ventures will also make staged exploration funding of up to $15m to earn a stake of up to 75% in the Odienné Project.

Under the initial phase, Newmont will fund $5m in exploration expenditures to earn a 51% interest in the Odienné Project within three years from the exploration agreement.

Newmont will make additional funding of $10m in exploration expenditure and define a minimum 2Moz gold resource under the second phase to earn a further 14% interest in the project.

An exclusive option agreement will then be signed by Newmont for an additional 10% interest in the Odienné Project. If the option is exercised, Newmont’s interest in the project will be 75%.

The investment is subject to certain closing conditions, including the approval of the Toronto Stock Exchange.

Awalé Resources CEO Glen Parsons said: “We have always considered Odienné has the potential to produce a Tier One asset which, based on work performed to date, is now supported by Newmont through this transaction.

“The setting of the Odienné Project has striking similarities to major copper-gold producing districts such as the Carajás and Olympic Dam Iron Oxide Copper Gold provinces in South America and Australia.

“The 5km-long Sceptre Cu-Au IOCG anomaly provides Awalé an excellent starting point and places us in a unique position to be drill testing targets that have Tier One potential.”

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How attractive are current investment opportunities in Europe?

Europe has been identified as one of the most favorable regions for investors, seeing high investment activity in the past year. Most of these investments have been through Debt Offering, valued at close to $700 billion. The region has provided attractive investments in a diverse set of companies. Companies who tend to major themes such Digital Media, Cloud, Artificial Intelligence, E-commerce, and Big Data are recording the highest number of deals, with Digital Media recording close to 2,000 deals. However, GlobalData’s whitepaper offers a full view of the market, analyzing less successful or attractive points of investment as well, examining statistics on Equity Offering investments and PE/VC deals. Understand how government agencies for economies around the world use GlobalData Explorer to:  
  • Track the M&A and Capital Raising volumes into their target market
  • Identify the top sectors in the target market attracting the investments
  • For any investment segment, identify the top Investors inside and outside the target economy that are already investing in the Segment
  • Assess and showcase the growth potential for various Industries in the target economy
Don’t miss out on key market insights that can help optimize your next investment – read the report now.
by GlobalData
Enter your details here to receive your free Report.

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