Verity Resources (ASX:VRL) has acquired the remaining 34% joint venture interest, held by BCL Investments, of a 1,800km2 portfolio of copper-silver and copper-nickel projects in Botswana.
In 2012, BCL entered into a farm-in joint venture (JV) agreement with Verity over three base metals discoveries. Under the agreement, BCL has committed to spend $4 million on exploration to earn a 40% interest in the prospects.
In 2017, the High Court of Botswana had placed BCL into liquidation, and as a result, the tenements were held in a freezer by the Botswana Department of Mines. As a result, BCL diluted its interest to 34%, which increased Verity’s joint venture stake to 66%.
Verity has now exercised its pre-emptive right to the terms of the previous deal and is acquiring the interest for US$206,060 ($315,629) cash.
Non-executive director Patrick Volpe says taking over sole ownership of the portfolio that has had more than $15 million spent to date, provides a “compelling” opportunity and simplifies the ability to advance these assets.
“The value proposition of Verity is continually increasing, having a 154,000 ounce gold resource at Monument, Western Australia, with resource expansion and upgrade drilling in progress, high-grade rare earth elements in Brazil, and now exceptional copper-silver projects in Botswana,” Volpe says.
“We now have control over a portfolio of projects containing in-demand, globally significant critical metals and minerals, in some of the best mining jurisdictions in the world.”
Verity Resources is a diversified mineral explorer focused on its projects in Brazil, Botswana, and Western Australia. The company’s project portfolio is considered prospective for critical minerals, lithium, rare earths, gold, and silver.
Write to Aaliyah Rogan at Mining.com.au
Images: Verity Resources
