Business
Proposed Merger of West African Assets
Proposed Merger of West African Assets.
About this update from Panthera Resources Plc
[{"type":"text","content":"\n \n \n RNS Number : 7322T\n Panthera Resources PLC\n 22 July 2020\n \n \n \n \n 22 July 2020\n \n \n \n \n \n Panthera Resources PLC \n \n \n (\"Panthera\" or the \"Company'\")\n \n \n \n \n \n Proposed Merger of West African Assets\n \n \n \n \n \n The Board of Panthera is pleased to announce that it has entered into a conditional sale and purchase agreement (the \"Agreement\") to divest its interests in the Labola gold project in south west Burkina Faso and the Kalaka gold project in south west Mali (the \"Projects\") to Moydow Holdings Limited (\"Moydow\" and altogether the \"Transaction\"), whilst retaining a significant interest in Moydow.\n \n \n \n \n \n Panthera believes the Moydow team, with a proven track record of delivering value to shareholders on West African gold projects, is well positioned to progress the Projects, initially through a drilling and evaluation programme.\n \n \n \n \n \n Moydow, with its joint venture partner, holds three exploration licences in two prospective gold projects at the southern end of the Kushaka Schist Belt in Nigeria. Moydow currently holds a 20% interest in the Nigerian joint venture, with an earn in right to increase this to 65%, which combined with Labola and Kalaka, will form a multi-project West African focused exploration and evaluation mining group.\n \n \n \n \n \n Panthera will retain 100% of its interests in the Naton and Bassala gold projects and intends to progress these separately.\n \n \n \n \n \n Highlights of the Transaction and Terms of the Agreement:\n \n \n \n \n \n \n \n \n \n 1)\n \n \n \n \n Panthera to transfer to Moydow:\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n a)\n \n \n \n \n the Labola Option Agreement under which Moydow will have the right to acquire 100% in the Labola gold property in Burkina Faso; and\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n b)\n \n \n \n \n Panthera Mali Resources SARL, which holds the Kalaka gold exploration licence under a joint venture agreement in Mali;\n \n \n \n \n \n \n \n \n \n \n \n \n 2)\n \n \n \n \n As consideration for the Transaction, Panthera to receive 3 million new ordinary shares in Moydow (the \"Consideration Shares\") together with cash of US$350,000 (est. £279,000) in tw...