17th Aug 2022 11:08
Kazera Global PLC - diamonds and rare earths explorer in South Africa and Namibia - Receives second payment of USD400,000 under from lithium investment deal for lithium produced from its mine at Tantalite Valley in Namibia.
In July, Kazera's wholly owned marketing, sales and export subsidiary African Tantalum Ltd entered into a contract with Hebei Xinjian Construction, a Namibian-based company.
Under the agreement, Xinjian said it would invest USD7.5 million to acquire 49% of the new subsidiary which will be formed by African Tantalum. Kazera said that the investment will consist of a mixture of cash, machinery and services. A minimum of USD2.5 million will be payable to Kazera in cash, with USD100,000 due on July 25, USD400,000 due by August 15 and the remaining balance in instalments, with the final one to be paid on or before January 31, 2023.
Chief Executive Officer Dennis Edmonds said: "We are now focused on maximising this investment in our Namibia operations with a view to also substantially increasing Tantalum production this year, and to commencing lithium sales in the first quarter of 2023 for which the global energy landscape and the importance of materials linked to the electric revolution continues to grow apace by the day."
Current stock price: 0.92 pence, down 5.6% on Wednesday
12-month change: down 29%
By Sophie Rose; [email protected]
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