Photo by: Bloombeg
PERTH (miningweekly.com) – ASX-listed Bass Metals will proceed with the acquisition of a stake in the Loharano mine, in Madagascar, from London-listed graphite producer StratMin Global Resources, following a positive due diligence.
Earlier this month, Bass announced that it could earn a 35% interest in the mine through a farm-in agreement.
Bass would acquire an initial 25% stake in StratMin’s wholly-owned subsidiary Graphmada Mauritius for an initial investment of £2-million.
Subject to the successful completion of the initial investment by November 30, Bass would have the right to acquire, at its sole discretion, a further 10% interest in Graphmada Mauritius prior to December 31, at a price to be determined by reference to the share price of StratMin at the time of the election to exercise the option.
Bass chairperson Rick Anthon said on Friday that having satisfied the primary due diligence requirements, the company was now moving immediately to fund the first tranche of the acquisition.
“Completion of the various technical, legal and commercial reviews is an important milestone for Bass in making this investment. Our initial announcement attracted a positive response from the London market.”
Graphmada Madagascar’s current main licence area, Loharano 1 is estimated to contain a 5.7-million-tonne inferred resource and an indicated resource containing an estimated graphite resource of 234 659 t.