Metals of Africa acquires three Select Exploration’s assets in Gabon

1 April 2014 (Last Updated April 1st, 2014 18:30)

Australia-based exploration company Metals of Africa (MTA) has completed the acquisition of a three prospective base-precious metals exploration assets of Select Exploration in Gabon, in West Africa.

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Australia-based exploration company Metals of Africa (MTA) has completed the acquisition of a three prospective base-precious metals exploration assets of Select Exploration in Gabon, in West Africa.

The two assets Lastourville and Kroussou were recently granted and the Mboungou licence is currently under application.

Upon completion of the transaction, MTA will hold 90% of the Gabon projects in a joint venture with Havilah Consolidated Resources (HCR) by issuing five million unlisted options to SLT, for consideration.

HCR will receive 10% free carried interest in the projects for a period of two years, and then will have the option to contribute proportionally or dilute to a net smelter royalty of 0.75%.

The three projects, jointly represent a significant exploration area of 6,886km².

MTA initially intends to conduct surface exploration work at the Kroussou and Lastourville projects, which is expected to commence in mid May.

The programme will include geological mapping in conjunction with a rock chip-soil sampling work programme.

The Kroussou licence has various base and precious metal occurrences, while the Lastourville licence covers a massive surface area of more than 4,000km², including geology that is considered prospective for base metal, gold, PGE, REE and uranium.

Said to be under application at present, the Mboungou project is located on the eastern margin of the Neoproterozoic Nyanga synclinorium.

Despite its prospective geology, there has been no historical systematic exploration over the licence area, the company said.


Image: Select Exploration's assets are located in Gabon. Photo: courtesy of Metals of Africa Limited.

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