7th Oct 2015 07:13
LONDON (Alliance News) - Metal Tiger PLC Wednesday said it has begun a "material expansion" into Thailand, which will involve increasing its stake in its existing Thai joint venture project and searching for other opportunities in the country.
Metal Tiger currently holds a 10% stake in a gold and antimony joint venture project with South East Asia Mining that was originally signed back in October 2014. Metal Tiger has purchased an option for USD10,000, which will allow it to acquire 100% of the joint venture before the end of October for a further USD40,000.
If Metal Tiger converts its option to fully acquire the joint venture, it will have to immediately transfer a 10% stake to a Thai-based company under country regulation, giving Metal Tiger a 90% stake.
"The board will visit Thailand in mid-October to progress completion of this transaction and that of additional negotiations to further expand the company's footprint in Thailand," said Chief Executive Cameron Parry.
That means Metal Tiger will hold a substantial stake in one exclusive prospecting licence for a gold and antimony project in the Chanthaburi province, in the South East of Thailand.
Back in July, Metal Tiger published an interim exploration report from the project, which confirmed the presence of antinomy mineralisation and gold anomalies. It also said the area has no previously known mineralisation making it warrant further exploration and work.
Metal Tiger will also hold a 90% stake in an application for a new area thought to contain gold and antimony in the same province as the existing project, plus a further two licence applications for projects in the Nakon Sawan and Lopburi provinces, which lays in the country's copper and gold belt.
In addition, Metal Tiger said it has already in "advanced negotiations" to acquire additional precious and base metal interests in Thailand. It also reiterated its commitment to Spain, where it is also looking for gold and tungsten opportunities.
Metal Tiger already has interests in a gold and tungsten project in Spain and a gold and uranium exploration project in Tanzania.
Metal Tiger shares were up 2.7% to 0.975 pence per share on Wednesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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