Deals this week: Botswana Diamonds, Fe Limited, KGHM International and more

8 August 2013 (Last Updated August 8th, 2013 18:30)

Botswana Diamonds inked a deal with Eversharp Investments, Fe Limited signed an agreement to sell its subsidiary Gympie Eldorado Mining and KGHM International signed an agreement with Vale Canada.

Copper

Botswana Diamonds has inked a deal with Eversharp Investments to jointly own the PL 117/2011 diamond mining licence in the Orapa region of Bostwana.

According to Botswana Diamonds, by investing up to $300 000 over a period of three years, it would be able to earn up to a 51% stake in the JV firm, called Newco, which would own the licence covering 2.9km².

During the last two years, the diamond firm studied all geochemical and geophysical data in the region and identified a series of focused targets.

Fe Limited, an Australian mineral resources exploration firm, has inked an agreement to sell its wholly owned subsidiary Gympie Eldorado Mining (GEM) to a Singapore-based mining and metals trading group firm.

GEM holds mining leases that contain three tailings storage facilities encompassing approximately 22ha and associated remaining assets and infrastructure at the Gympie Eldorado Mine.

This mine, which is located in south-east Queensland, closed in 2008.

KGHM International, earlier known as Quadra FNX Mining, has signed an agreement with Vale Canada, a subsidiary of mining major Vale, for the development of the Victoria project and the ore off-take to Vale's facilities in Sudbury, Canada.

"According to Botswana Diamonds, by investing up to $300 000 over a period of three years, it would be able to earn up to a 51% stake in the JV firm."

Located in Sudbury basin, Ontario, the Victoria project has ore rich in copper, nickel and precious metals, which will be extracted.

As per the terms of the new arrangement with Vale, KGHM International will build as well as operate the project, while Vale in turn will secure a royalty and off-take on all future production from the project.

Toronto-based IAMGOLD has completed new agreements with the Republic of Suriname on the power rates that will support its present, as well as future, operations at its Rosebel Gold Mine and contribute to development of power infrastructure in the country.

These agreements complement the earlier announced joint venture deal between the firm and the country, targeting new ore at lower power rates in areas around the present mining operation.

IAMGOLD is a mid-tier gold producer and has six mines on three continents.

Canada-based Geomega Resources has inked an agreement with the City of Lebel-sur-Quévillon, in the James Bay region of Québec, for the sustainable development of the Montviel Rare Earths/Niobium project.

The partnership deal offers for the creation of a Montviel Development Committee, which will consolidate efforts towards aspects such as communication, local employment and economic diversification, which are of mutual interest to both the parties.

The Montviel project will benefit from permanent access, public infrastructure and available labour.

An initial annual production of neodymium oxides in the range of 2,000t has been targeted.


Image: The Victoria project in Sadbury, Ontario, is rich in copper. Photo courtesy of Jonathan Zander (Digon3).

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