AMN - SOUTH AFRICA: Bushveld funds for Strategic acquisition

London-listed Bushveld Minerals has raised further funds for its planned acquisition of Strategic Minerals Corp after agreeing on a deal with Wogen Resources related to its alloying business. Bushveld and Strategic have tin projects in development.

Through its subsidiary Greenhill Resources, Bushveld is working to develop the Mokopane tin project in South Africa, but also has a suite of vanadium, titanium, iron ore and coal assets. Strategic Minerals became equal partners of the Redmoor tin-tungsten project in Cornwall, UK, in February 2017 after fulfilling the terms of an agreement with New Age Exploration.

The $9.0 million in financing from Wogen will be partly used to fund the acquisition of Strategic Minerals from Evraz Group. Bushveld, which agreed to buy the 78.8% stake in Strategic last year for $17.2 million, expected the deal to be complete at the end of March.

A scoping study for Mokopane was released in September 2014 but the strategy has since been altered to focus on smaller-scale, near-surface high-grade tin targets to reduce the initial CapEx and time required to bring the mine to production.

A positive evaluation of the Redmoor project was recently undertaken based on the results of previous mining and processing studies. An initial drilling program has been planned to define additional resources and upgrade part of the existing resource from Inferred to Indicated Mineral Resource status.

www.bushveldminerals.com

News courtesy of International Mining