Zeus Resources (ASX:ZEU) has secured a majority stake in the Diaguili Copper-Gold Project in a highly prospective region of Mauritania, ahead of a planned drilling campaign this quarter.
Zeus has now completed the first stage of its acquisition of Sab Metals Mauritania SARL, securing a 51% interest in the company and assuming management of the exploration asset that covers Diaguili.
Significantly, Diaguili is in the Mauritanides, a 1,000km copper–gold belt interpreted as a potential iron oxide copper-gold (IOCG) province. Highly sought after for their often large-scale deposits of copper, gold, and other critical minerals, IOCG provinces host some of the world’s most valuable mines.
“Completion of this first tranche is an important milestone for Zeus and reflects the strong progress we are making in establishing our presence in Mauritania,” Executive Director Hugh Pilgrim says.
“Securing a 51% interest in Sab Metals and assuming management of the Diaguili Project positions us to advance exploration in a focused and timely manner.
“We are encouraged by the copper–gold prospectivity of the project and look forward to commencing drilling during the current quarter.”
Sealing the Sab deal
The acquisition follows a share sale agreement announced in July, under which Zeus agreed to acquire Sab Metals.
Consideration for the first completion comprised US$350,000 ($496,980) in cash and 66,743,879 fully paid ordinary Zeus shares. The cash payment represents US$400,000 less the US$50,000 exclusivity fee already paid.
The agreement allows Zeus to acquire the remaining interest in Sab Metals in further stages, as outlined in its July announcement.
Building its exploration portfolio
The Diaguili acquisition adds copper and gold exposure to Zeus’s strategy of developing early-stage, ‘high-grade’ critical mineral assets in underexplored jurisdictions.
Diaguili lies in the same copper-gold belt as First Quantum Minerals’ (TSE:FM) Guelb Moghrein mine and features similar chlorite-schist and jasperoid host rocks. Guelb Moghrein produced about 17,800 tonnes of copper and 31,500 ounces of gold (Au) in 2024.
As investor interest in the country continues to grow, Montage Gold (TSX:MAU), backed by the Lundin family, was awarded five greenfield gold exploration permits covering about 2,100km² in April 2026.
Meanwhile, Kinross Gold (TSX:K) operates the Tasiast mine in Mauritania’s Reguibat Shield to the north. In 2023, the mine reported record gold production of more than 620,000 ounces Au.
Foothold in a mining-friendly country
Mauritania has a mining sector that contributes about 24% to the country’s gross domestic product (GDP) and significantly to export earnings.
To support the sector, the country has a mining code regarded as favourable towards exploration. Last year, it introduced a centralised mining information system for its growing resources sector.
Mauritania is also a member of the Extractive Industries Transparency Initiative, which promotes transparency in the management of natural resource revenues.
Zeus Resources is a mineral explorer focused on identifying and developing early-stage critical mineral assets in underexplored jurisdictions.
Main image: iStock
Write to Christina Wagstaff at Mining.com.au
