The common shares will be offered in all the provinces of Canada except Quebec, by means of a short-form prospectus. They will not be offered in the US.
The company had previously raised C$20-million, by means of a private placement last December. The total capital cost for the project is estimated at US$200-million, to be raised through a mixture of debt and equity.
Founded in 2004, Africo Resources is a minerals exploration, development and mining company, with its head office in Vancouver but its operational base in the DRC. It is focused on the copper and cobalt sectors in that Central African country, and, in particular, on the further exploration and development of Kalukundi, which is currently the company’s primary asset.
Kalukundi is located in the Kol-wezi district of Katanga province of the DRC, and is some 65 km by road from the town of Kolwezi. It lies about 32 km west of the Phelps Dodge-controlled Tenke Fungurume deposit.
The feasibility study for Kalu-kundi started in May 2004 and was finalised in May 2006.
It confirmed the existence of mineable oxide ore reserves, suitable for ten years of mining using opencast methods, with high copper and cobalt recoveries, achievable through a vat leach process plant with a sulphur extraction/electrowinning (SX/EW) circuit resulting in high-purity copper and cobalt metal. Africo Resources holds 75% of the project, with DRC State-owned mining group G