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Australian miner enters JV for Karibib lithium project

Australian miner enters JV for Karibib lithium project

The persistent rise in lithium spot prices from 2014 to 2016 has prompted an Australian company to formalise its agreement with a local exploration outfit, to look for richer lithium deposits in a known mineralisation zone south and east of Karibib.

Australian mining firm Auroch Minerals, this week via the Australian Stock Exhange, said it has exercised its option to acquire 90% of EPL 5751 as it continues its focus on the Karibib lithium project in Namibia.

The company, said it will be moving into a full joint venture with Namibian firm, Dynamic Geo-Consulting Services, which is the registered holder of EPL 5751 near the town of Karibib in the Erongo region.

Dr Andrew Tunks, the Auroch CEO said, “ Exercising our option on EPL 5751 and moving to a full Joint Venture expresses the confidence Auroch’s management has in the Karibib lithium project to deliver substantial exploration success over time.”

“The new JV is an important step in the growth of the Karibib lithium project as we continue to grow the company’s Namibia portfolio. Although exploration is still at an early stage we have identified substantial Lithium mineralised pegmatites across the license and will continue to focus our field efforts in this area,” he added.

Litium, while not rate, has never been mined in large quantities but with the advent of electric cars, the demand for lithium has surged. It is used to manufacture the new generation electric car batteries.

According to the Auroch statement, EPL 5751 contains four historical pegmatite occurrences, the Tsaobis, Nordenburg, Dorstriver and Villa Rosa pegmatites.

The company said field visits to date by Auroch geologists have revealed lithium mineralisation is present at Tsaobis. According to Auroch, samples assaying up to 2.73% lithium oxide have been collected during first pass reconnaissance field work.

Auroch said that the presence of lithiophilite in the Tsaobis pegmatite is also confirmation of lithium enrichment and that the pegmatite is a lithium caesium tantalum pegmatite and is highly prospective.

Meanwhile, the terms of the Option and JV when the transfer of EPL 5751 is completed and registered, say that Auroch will pay Dynamic Geo-Consulting US$20,000 and issue them 100,000 fully paid ordinary Auroch shares.

According to the agreement Auroch will be funding all expenditure until there is a positive feasibility study that supports a decision to mine. Auroch will also be the manager of the joint venture and determine in its absolute discretion the JV programmes and budgets for work to be carried out on the project.

Furthermore, the Australian firm stated it may elect at any time to withdraw from the joint venture upon which the project will be returned to Dynamic Geo-Consulting and Auroch will have no further liability, other than remedial obligations relating to activities carried out under the agreement.

The Australian firm stated that it is in a strong financial position to continue with the joing venture listing cash and other liquid assets of A$ 8.3 million.

About The Author

Musa Carter

Musa Carter is a long-standing freelance contributor to the editorial team and also an active reporter. He gathers and verifies factual information regarding stories through interviews, observation and research. For the digital Economist, he promotes targeted content through various social networking sites such as the Economist facebook page (/Nameconomist/) and Twitter.

Following reverse listing, public can now acquire shareholding in Paratus Namibia

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20 February 2020, Windhoek, Namibia: Paratus Namibia Holdings (PNH) was founded as Nimbus Infrastructure Limited (“Nimbus”), Namibia’s first Capital Pool Company listed on the Namibian Stock Exchange (“NSX”).

Although targeting an initial capital raising of N$300 million, Nimbus nonetheless managed to secure funding to the value of N$98 million through its CPC listing. With a mandate to invest in ICT infrastructure in sub-Sahara Africa, it concluded management agreements with financial partner Cirrus and technology partner, Paratus Telecommunications (Pty) Ltd (“Paratus Namibia”).

Paratus Namibia Managing Director, Andrew Hall

Its first investment was placed in Paratus Namibia, a fully licensed communications operator in Namibia under regulation of the Communications Regulatory Authority of Namibia (CRAN). Nimbus has since been able to increase its capital asset base to close to N$500 million over the past two years.

In order to streamline further investment and to avoid duplicating potential ICT projects in the market between Nimbus and Paratus Namibia, it was decided to consolidate the operations.

Publishing various circulars to shareholders, Nimbus took up a 100% shareholding stake in Paratus Namibia in 2019 and proceeded to apply to have its name changed to Paratus Namibia Holdings with a consolidated board structure to ensure streamlined operations between the capital holdings and the operational arm of the business.

This transaction was approved by the Competitions Commission as well as CRAN, following all the relevant regulatory approvals as well as the necessary requirements in terms of corporate governance structures.

Paratus Namibia has evolved as a fully comprehensive communications operator in Namibia and operates as the head office of the Paratus Group in Africa. Paratus has established a pan-African footprint with operations in six African countries, being: Angola, Botswana, Mozambique, Namibia, South Africa and Zambia.

The group has achieved many successes over the years of which more recently includes the building of the Trans-Kalahari Fibre (TKF) project, which connects from the West Africa Cable System (WACS) eastward through Namibia to Botswana and onward to Johannesburg. The TKF also extends northward through Zambia to connect to Dar es Salaam in Tanzania, which made Paratus the first operator to connect the west and east coast of Africa under one Autonomous System Number (ASN).

This means that Paratus is now “exporting” internet capacity to landlocked countries such as Zambia, Botswana, the DRC with more countries to be targeted, and through its extensive African network, Paratus is well-positioned to expand the network even further into emerging ICT territories.

PNH as a fully-listed entity on the NSX, is therefore now the 100% shareholder of Paratus Namibia thereby becoming a public company. PNH is ready to invest in the future of the ICT environment in Namibia. The public is therefore invited and welcome to acquire shares in Paratus Namibia Holdings by speaking to a local stockbroker registered with the NSX. The future is bright, and the opportunities are endless.