11th Feb 2016 09:44
LONDON (Alliance News) - Metal Tiger PLC on Thursday said it has secured consent from authorities in Botswana for the ownership of 14 licences to be transferred to its joint venture company and said all of the licenses have been extended.
Metal Tiger is working with MOD Resources in the country through a joint venture company, Tshukudu Metals Botswana (Pty) Ltd. Metal Tiger holds a 30% stake in that company with MOD holding the other 70%.
Metal Tiger said ministers in Botswana have given the green light for the ownership of 14 licenses to be transferred to the joint venture company and has extended all of them until the end of 2016.
The company said that will allow more time to drill some high-priority targets this year, before applying for further extensions to "key" licenses before the end of the year - suggesting some licenses could drop off.
"With drilling to commence next week and with the soil sampling process ongoing we will begin to discover the true potential of our interests in Botswana. We expect news updates to flow to market as and when results are received and interpreted," said Chief Executive Paul Johnson.
Metal Tiger and MOD Resources have planned a staged, six-month drilling program to test high priority exploration targets in the Mahumo area and the potential for resource extensions at Mahumo onto adjacent joint venture licenses or onto licenses owned by MOD.
"We are delighted to see the rapid progress being achieved in Botswana by our partners MOD Resources. The acquisition of highly prospective interests is an important step in the value creation process, but the real test is the extent of mineralisation as determined by properly evaluating the ground and drilling," said Johnson.
Metal Tiger shares were up 1.6% to 0.889 pence per share on Thursday.
By Joshua Warner; [email protected]; @JoshAlliance
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