PERTH (miningweekly.com) - Africa-focused resources company Globe Metals & Mining has moved into the titanium-vanadium-iron space by entering into a joint venture (JV) agreement for a project in Mozambique.
The JV agreement with Mihandzu Minerais SA would allow Globe to earn up to an 80% interest in the Memba licence over five years, through a staged expenditure on exploration programmes.
Globe would have the option to purchase a further 10% interest in the project after five years.
“The company is excited to be involved in this project, and it suits our exploration model perfectly,” said MD Mark Sumich on Friday.
“We are already operating in Mozambique, the potential upside on the project is enormous and the initial look and see Phase 1 exploration spend is negligible,” he added.
Globe would be required to spend some $200 000 on exploration in the first year of the JV, with a further $500 000 spent on the second year. By year three, Globe would be required to define and report a Joint Ore Reserves Committee-compliant mineral resource, and would need to issue a feasibility study within 24 months of the end of year three.