East Africa Metals Inc. Announces MOU for the Development of the Magambazi/Handeni Mining Project in Tanzania

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[{"type":"text","content":"East Africa Metals Inc. Announces MOU for the Development of the Magambazi/Handeni Mining Project in TanzaniaVancouver, British Columbia--(Newsfile Corp. - August 15, 2025) - East Africa Metals Inc. (TSXV: EAM) (\"EAM\" or the \"Company\"), is pleased to announce that the Company has entered into a binding Memorandum of Understanding (\"MOU\") with Ubora Minerals Company Limited (\"Ubora\") to acquire and develop the Company's Magambazi and Handeni mining project in Tanzania. Ubora is a subsidiary company of Anchises Capital Precious Metal Fund LLC (\"Anchises\"), which holds 50,200,000 common shares of the Company, representing approximately 18.66% of the Company's issued and outstanding shares. Accordingly, Ubora is a \"Non-Arm's Length Party\" of the Company, as defined under the policies of the TSX Venture Exchange. Terms of the MOU include:Cash payment of US$1.0 million upon signing of a definitive agreement that replaces the MOU (a \"Definitive Agreement\"), in lieu of US$1.7 million owed to EAM by PMM Mining Company Limited (\"PMM\").4% Net Smelter Returns royalty, subject to annual minimum royalty, advanced royalties, and cumulative 10-year guarantee payment terms.Buyout of PMM's interest in the Magambazi/Handeni project.Project development within 48 months after obtaining all necessary approvals and acquiring control of the project, as required by applicable regulatory authorities.A minimum annual production rate of 40,000 ounces of gold within 48 months of commercial production.In October 2020, the Company signed a Share Purchase Agreement and Gold Purchase Agreement with PMM, a Tanzanian private company, to develop the Magambazi mining project. In December 2022 due to PMM's lack of performance, non-compliance with the terms and conditions of the Mining License Agreement respecting the project and a litany of breaches to PMM's agreements with the Company, the Tanzanian Ministry of Minerals suspended PMM's operations at the project site and the renewal of the mining licenses. Since that time EAM's management has been engaged with the Tanzanian government and PMM to resolve issues inhibiting the development of commercial mining operations at Magambazi.In August 2024, the Tanzanian Government intervened again to mediate a resolution to PMM's non-compliance. The Minister of Minerals imposed a process under which EAM and PM...

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