Katoro signs term sheet for potential disposal of Tanzania projects
Aim-listed Katoro Gold has agreed a term sheet with Lake Victoria Gold (LVG) for the proposed disposal of 100% of Katoro’s wholly-owned subsidiary Reef Miners to LVG for $1-million and a 1.5% net smelter royalty (NSR).
Reef Miners owns the Imweru and Lubando gold projects in northern Tanzania.
Katoro executive chairperson Louis Coetzee said the company believes LVG is well-positioned to develop the projects so that their potential is fully realised.
To this end, the optionality within the term sheet enables Katoro to have the ability to retrieve equity in the projects by retaining the option to, at Katoro’s sole discretion, accept LVG shares in lieu of cash for payments subsequent to an initial $50 000 payment, as well as retaining a 1.5% NSR.
The proposed disposal also releases Katoro’s resources so that it can focus on its Haneti project, as well as exploring other value-driving opportunities.
The proposed disposal is reflective of Katoro's strategy to develop a portfolio of assets focused on the battery metals sector.
The recent acquisition of the Haneti nickel project has attracted significant interest from investors and the company has been involved in the evaluation of further opportunities as it looks to capitalise on the battery metal demand fundamentals and deliver value for its shareholders, Katoro said on Thursday.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation