Kavango Resources PLC - London-based, Botswana-focused metals exploration company - Signs exclusive two year option to acquire a gold exploration project in Matabeleland, southern Zimbabwe. Kavango Resources says that the Nara project has 45 contiguous gold claims, and believes it has potential to host a bulk mineable gold deposit. Says the Nara Project has generated approximately 150,000 to 250,000 tonnes of tailings, which presents a separate opportunity for near-term revenue generation.
Kavango agrees to pay the current claims holder $4.0 million cash, and have agreed to pay an option fee to them of up to $220,000 over the 2-year option period, split into 4 individual payments of $55,000 each payable at the start of each half year. Kavango says that it will commit $1.0 million in spending on exploration at the Nara Project in the two years, with a minimum exploration spend of $500,000 in the first year.
Chief Executive Officer Ben Turney said: ‘Zimbabwe has a strong tradition of mining. However exploration and investment has been severely limited over recent decades. We believe this presents a significant opportunity for Kavango and a commercial discovery.’
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