Tanga Resources inks 80% earn-in agreement with Epangelo
Australian mining exploration company, Tanga Resources, this week announced the signing of a binding agreement with state-owned Epangelo Mining, to earn an initial equity interest of 80% in a portfolio of exploration Licences located in Namibia.
The licences are located on the Damara Orogenic Belt in central north, immediately south of the Tanga’s Hagenhof Copper-Cobalt Project and significantly expands the company’s total regional land position to over 1 700km2.
According to the company, key terms included in the agreement are that upon Tanga earning the initial 51% interest, Tanga shall issue 5,000,000 new shares and make a milestone payment of A$100,000 to Epangelo, however, Tanga may withdraw from the agreement at any time after it has incurred the initial A$100,000 of expenditure.
The terms further state that in the event that Tanga withdraws or fails to make a required payment following its acquisition of the 51% interest, interest will be transferred back to Epangelo for a nominal cost.
“This agreement provides a significant opportunity for both Tanga and Epangelo, to the benefit of all shareholders and stakeholders. By working together, we are maximising the synergies and technical expertise of both companies to drive exploration, whilst demonstrating a shared commitment to continued investment within the Namibian resources sector,” Eliphas Hawala, CEO of Epangelo Mining said.
A statement released by Tanga stated that the licences have had very little modern exploration however, regional aeromagnetic data shows a major north-south trending structure running through one of the Licences, EPL 4833, and continuing up into Hagenhof.
“We are pleased to announce this agreement with our partner Epangelo, which has enabled Tanga to secure a significant regional land position, on the Damara Orogenic Belt, along strike from our 100% owned Hagenhof Project. This is a key strategic step for Tanga and aligns with our strategy for Namibia. Our exploration program that is currently underway, will now be expanded to include these new Licences and we look forward to keeping the market informed on further progress,” Matthew Bowles, Tanga Resources CEO said.