African Eagle Seeks Equity Partner for Tanzania Project

1 September 2009 (Last Updated September 1st, 2009 18:30)

Diversified junior miner African Eagle is searching for an equity partner to supply funds for a $450m nickel project in Tanzania. The company said it will raise funds for the project which has capital costs of between $350m to $450m, by selling some gold and copper projects, according t

Diversified junior miner African Eagle is searching for an equity partner to supply funds for a $450m nickel project in Tanzania.

The company said it will raise funds for the project which has capital costs of between $350m to $450m, by selling some gold and copper projects, according to miningweekly.com.

The company will conduct a feasibility study on the firm's key Tanzanian project Dutwa, which is expected to finish in mid-2011, the African Eagle managing director Mark Parker said.

"We are looking at bringing in joint venture partners or we will sell [one of those] projects outright, principally to raise capital to take the Dutwa nickel project forward," Parker told Reuters.

Parker said that the firm could also use debt finance as an option for raising capital.

The firm is aiming to produce 20,000t to 30,000t of contained nickel per year and annually process two- to three-million tonnes at 1.1% or 1.2%.