JOHANNESBURG (miningweekly.com) – Dual-listed Kibo Mining has terminated joint venture (JV) activities with Metal Tiger at the Pinewood and Morogoro mines, in Tanzania.
The companies will also relinquish the mine licences back to the local authorities.
The miner explained in a statement on Friday that both companies had experienced considerable success in other projects, which has led to these interests becoming the absolute focus of each company.
Metal Tiger's investment in Botswana has resulted in a substantial and developing copper/silver discovery, while significant progress is being made in the company's investment in Thailand, where its JV partner is looking to permit and produce from a long-standing silver/lead/zinc mine with an on-site processing plant.
Meanwhile, with substantial progress made at Kibo’s Mbeya coal-to-power project, paired with advancements at its Imweru and Lubando gold projects, Kibo Mining would shift its focus to these projects.
“Each of the projects can materially further the success of the companies, and provide a significant opportunity, through continuing investment, to have a major local economic impact,” Kibo said.
No material ongoing costs would need to be recovered as a result of the termination, with Metal Tiger retaining ten-million warrants to subscribe for new ordinary shares in Kibo Mining at a price of 9p each.