JOHANNESBURG (miningweekly.com) – ASX- and Aim-listed gold and nickel producer Dwyka Resources’ stake in Minerva Resources has increased to 80,9%, effectively giving it control of the company.

Minerva would now delist from the Aim on July 23, Dwyka reported on Wednesday.

Dwyka was offering one share for every five outstanding Minerva shares. Full acceptance of the offer would result in the issue of 30,9-million new Dwyka shares, with Minerva shareholders representing some 13,9% of the enlarged share capital.

The acquisition of Minerva would give Dwyka control over a number of prospective gold and platinum exploration assets in Ethiopia, which came with a body of research including mapping, geochemistry, and drilling from three operators that have worked in the region.

The principal assets included the Tulu Kapi gold exploration project, the Yubdo platinum project, and some other gold exploration targets within the licence area. In addition, Dwyka will also be taking control of Minerva’s 51% interest in a platinum exploration project in Ethiopia, and a gold and diamond exploration project in Sierra Leone.

Dwyka reported that about $1,7-million has so far been set aside to develop the Ethiopian assets, and the current strategy was to first submit all the required documentation to facilitate the production of a Joint Ore Reserve Committee compliant resource estimate on the 600 m by 600 m area already drilled.

The second step would be to complete a technical review of all the Ethiopian targets, and to produce a strategic exploration and development pan to complement the views of Dwyka’s geologists.

“If enough resources can be delineated at Tulu Kapi, there may be an argument for commissioning a feasibility study on the existing resources, although exploration of the wider area could add to the global resource base, as this would allow Dwyka to convert the exploration licence to a mining licence, adding to savings further in the future,” Dwyka said in a statement.

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