African Queen Mines has entered into an earn-in and joint venture agreement with Swiss firm Opti Metal Trading over its King Solomon project in Mozambique.
The agreement includes exploration, development and exploitation of a license covering about 320km2 in the centre of the Fingoe Belt, located adjacent to Africa Queen’s existing joint venture permits with other parties.
Under the agreement, African Queen may earn up to 85% interest in the project by funding certain stages of project development from exploration to feasibility. The company will act as manager and operator of the project.
African Mines will gain a 25% interest in the project by paying 50% of the Phase 1 ground exploration costs, estimated at $300,000.
The first phase of the ground exploration programme will involve soil and rock sampling, mapping, trenching and sample analysis, along with ground geophysical studies.