Galileo acquires 29pc stake in BC Ventures
UNITED Kingdom-based mining firm, Galileo Resources, has concluded a transaction to acquire 29 percent shareholding in BC Ventures Limited, which owns a highly prospective lithium project in Kamativi and two gold licences near Bulawayo.
Last month, the European company announced the intent to acquire 29 percent shareholding in BC Ventures.
The transaction is in exchange for 50 million shares (consideration shares) in Galileo, which also has an option to acquire further 51 percent interest through the spending of US$1,5 million on exploration and evaluation of the above-mentioned projects by January 2024.
“The company further to its announcement of August 10, 2022 is pleased to announce that all conditions have been met in relation to the agreement to acquire a 29 percent shareholding in BC Ventures Limited; accordingly, the company is issuing 50 million Galileo Resources plc shares at a price of 1,2 pence per share being the consideration shares due in relation to the share acquisition (consideration shares).
“As a result, Galileo will have an interest of 29 percent in BC Ventures alongside an option to acquire a further 51 percent interest through the company spending US$1,5million on exploration and evaluation of the projects by January 21, 2024,” said Galileo.
The consideration shares are being issued to African Mineral Resources Ltd, which will own 50 million ordinary shares in Galileo being 4,3 percent of the company’s shares.
Meanwhile, the company has announced the discovery of potential nickel targets at its Bulawayo gold project following the recently conducted airborne geophysical survey on its two exclusive prospecting orders.
Galileo has exclusive prospecting orders (EPO) covering 1 300 square kilometres in Bulawayo, with gold as the primary target, and another 520 square kilometres in Kamativi, where lithium and tantalum are the primary targets.
The survey, which was carried out by Xcalibur Airborne Geophysics, an external consultant for Galileo, revealed that it had identified several areas with nickel deposits potential.
According to Xcalibur, the majority of these mineral deposits are greenstone-hosted mainly found in meta-gabbro rocks.
The contractor also established the existence of greenstone belts, banded iron formations, and geological structures, which are favourable for gold and nickel mineralisation in areas that had not been explored hitherto.
If successful, the discovery would benefit Zimbabwe’s mining sector growth ambitions given the ongoing electric car revolution, which could transform the nickel mining company’s fortunes, since the mineral is a major component in the manufacture of electric car batteries.
Zimbabwe is looking to grow mining, a strategically key sector to the economy which accounts for well over three quarters of its forex earnings, into a US$12 billion industry by 2023, with nickel, chrome and steel expected to chip in with a combined US$1 billion.-ebusinessweekly
