TKM days away from completing zinc-lead project acquisition
Trek Metals Limited (ASX:TKM) has executed a share sale agreement to acquire 100% of the Kroussou Lead-Zinc Project from Battery Metals (ASX:BAT), with the deal expected to be completed in early April.
TKM has been progressing exploration at the project over the past 12 months in a JV arrangement alongside BAT. This exploration positions TKM ready to commence its maiden drill programme at the project in the upcoming dry season in June.
The project, located in the mining friendly African nation of Gabon, contains strongly zinc and lead mineralised rocks at surface along tens of kilometres of strike, as well as large zinc and lead soil anomalies.
As with all minerals exploration, success is not guaranteed — consider your own personal circumstances before investing, and seek professional financial advice.
TKM Managing Director Bradley Drabsch said, “We are very excited to take control of this highly prospective project. Owning 100% provides flexibility in undertaking exploration activities as well as longer term strategic flexibility when considering options for maximising the Project’s value. Kroussou presents us a unique opportunity in a forgotten part of the world that has received precious little attention for its base metals potential in the past. We remain committed to the discovery of a genuine World Class mineralised system at Kroussou and, so far, we have all the ingredients present to do exactly that.
The initial consideration for the acquisition of the Kroussou Project is US$200,000 cash to BAT and US$200,000 of TKM shares with attached options. Deferred consideration will also be paid upon TKM defining a JORC‐compliant Indicated Mineral Resource Estimate of more than 250,000t of zinc + lead, as well a net smelter royalty upon sales revenue.
The deal is expected to be completed in early-April with a maiden drill programme set to begin soon after at the onset of the region’s dry season.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.