VEC pens agreement with SOKIMO on multi-million ounce gold projects
Finfeed presents this information for the use of readers in their decision to engage with this product. Please be aware that this is a very high-risk product. We stress that this article should only be used as one part of this decision-making process. You need to fully inform yourself of all factors and information relating to this product before engaging with it.
Vector Resources Limited (ASX:VEC) today announced that it has signed two binding agreements to finalise joint venture agreements for its 100%-owned Kibali South and Nizi Gold Projects located in the Ituri and Kilo Provinces of the Democratic Republic of Congo (DRC).
Under the agreements, with Société Minière de Kilo Moto (SOKIMO), VEC will now finalise its due diligence and key terms for joint ventures to be established for the exploration and development of the Kibali South and Nizi Gold Projects, which are located in the Ituri and Kilo Provinces in north-eastern DRC.
The proposed Kibali South and Nizi Gold Joint Ventures with SOKIMO are aimed at establishing a long-term partnership to build a major DRC focused gold mining company that benefits all stakeholders.
The Kibali South Gold Project is located adjacent to and within the world-class Kibali Gold Mine. The Kibali Gold Mine is Africa’s largest gold producing mine, developed at a total capital cost of approximately US$2.5 billion, with currently over 27Mozs of gold resources and operated by Randgold Resources (LON:RRS) under joint venture with AngloGold Ashanti (JSE:ANG) and SOKIMO.
VEC’s Kibali South Gold Project has existing inferred mineral resource of 28.1Mt at 1.63g/t gold for 1.47Mozs, quoted under the SAMREC code.
However it is an early stage of this company’s development and if considering this stock for your portfolio you should take all public information into account and seek professional financial advice.
Here is the location of the Kibali South Gold Project relative to the Kibali Gold Mine and Kibali Goldmines licenses:
The Nizi Gold Project, which is located 120 kilometres south east of the Kibali South Gold Project, comprises several identified gold prospects including the Baluma Gold Oxide Project and King Leopold Gold Mine.
Historical production of up to 1.45Moz of gold is reported to have been produced from the King Leopold Gold Mine during the 1900’s, at grades reported to be approximately 30g/t.
VEC’s technical management and members of the Board have already completed a positive technical site visit and preliminary due diligence review and held successful meetings with SOKIMO to discuss ways to ensure a responsible and accelerated development timetable of the two gold projects.
All final due diligence and joint venture negotiations will be completed over the next 90 days, with completion of all outstanding commercial terms and conditions to be satisfied.
VEC has completed a A$3.24 million capital raising to fund finalise diligence, meet up-front costs of the transaction and fund the costs associated with ongoing due diligence of further gold project acquisitions.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of Maven Capital Pty Ltd (AFSL No. 418504). 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.