JOHANNESBURG (miningweekly.com) – TSX-V-listed Tango Mining has agreed to sell subsidiary African Star Minerals, which owns the Northern Cape-based Oena diamond mine, to South Africa-registered Bothma Diamante for $3-million.
The transaction, for which Tango received a binding offer, comprised two stages. Stage 1 comprised a binding term sheet and sale and acquisition agreement for contracting that would see Bothma continue the alluvial diamond bulk-sampling programme at Oena.
Following this, the parties would enter the Stage 2 sale and acquisition agreement for the share sale and purchase where Bothma would complete the acquisition of African Star.
Tango would receive a minimum of 15% of the proceeds of all diamond sales for a term of the longer of 12 months or until a Section 11 approval for the deal was obtained.
The sale was also subject to the approval of the TSX Venture Exchange and the completion of the Stage 2 agreement.