Metal Tiger PLC has signed a binding investment agreement to acquire up to 50% of Botswanan- focused explorer Kalahari Metals Limited (KML) for a total consideration of US$1.6m, the company announced on Wednesday.
KML is a privately owned company holding interests in seven highly prospective exploration licences covering 4,063km2 in the Kalahari Copper Belt.
The AIM-listed company said it had exercised the first option under the agreement and was to be issued 18% of the enlarged share capital of KML for a total consideration of US$600,000. And the company will also appoint two non-executive directors to the board of KML.
Michael McNeilly, chief executive officer of Metal Tiger, said, “The signing of this deal with follows 3 months of substantial corporate and technical due diligence and is a further exciting milestone in Metal Tiger’s continuing involvement in a world-class copper region in Botswana.”
He added, “Based on our initial discussions, key focus will be to conduct geophysics and soil geochemical surveys to identify high priority targets for drilling as well as commence work on the environmental management plans for areas likely to be of interest for drilling in the near term.”