Tango Mining buys 80% stake in diamond asset in Liberia

14 September 2018 (Last Updated September 14th, 2018 12:31)

Tango Mining has entered an agreement to purchase an 80% interest in the Mano River diamond project from West Mining (WML) in the Republic of Liberia.

Tango Mining has entered an agreement to purchase an 80% interest in the Mano River diamond project from West Mining (WML) in the Republic of Liberia.

The proposed acquisition comprises a recently granted 104.3km² diamond mineral exploration licence (MEL7003018 (MEL)) located in the western part of the country.

“Tango will undertake an exploration programme by the end of the first quarter of next year.”

The area is known for the widespread occurrence of alluvial diamonds and kimberlites.

The licence is valid for a period of four years until 07 September 2021.

Once the acquisition is completed, Tango will undertake an exploration programme by the end of the first quarter of next year.

The programme will include geological and structural mapping, sampling and ground geophysical surveys.

Tango is required to meet all holding costs in exchange for the acquisition of the 80% stake in the Mano River project.

Historical exploration for diamond bearing kimberlites has resulted in the identification of several distinct kimberlite clusters around the property, including Kumgbor, Mano Godua and Weasua and a recent discovery that comprises three identified kimberlites.

According to Tango, the Mano River property is underlain by favourable basement geology.

However, the company noted that significant systematic modern exploration has not been conducted so far at the property.

The Avesoro Resources-operated New Liberty gold mine is located 45km south west of the property.

In a separate development, Tango has signed a diamond services agreement with Cooperativa Mineira Do Moquitaon on a property located within the Lauchimo River basin in Lunda Norte, Angola.

Under the terms of the agreement, Tango will incur expenses associated with alluvial diamond mine design and equipment acquisition, as well as enhancing production in exchange for 60% of the proceeds from the sale of diamonds produced from the property.