(Alliance News) - Altus Strategies PLC, an Africa-focused mining mining project incubator and royalty firm, on Monday said it has signed a definitive joint venture pact with Glomin Services Ltd for the Lakanfla and Tabakorole gold projects in Mali.
Under the agreement, Glomin will have the option to acquire up to an initial 80% interest in each project by completing a definitive feasibility study.
In return, Altus will receive up to USD1.5 million in cash, retain equity in the projects and up to a 2.5% net smelter return on the two projects. Altus, which owns 100% stake in both the projects, will remain as the operator of the projects during the initial earn-in period.
The companies initially signed a term sheet for gold projects in August.
Steven Poulton, chief executive of Altus, said: "We are delighted to have concluded the definitive JV agreement with Glomin which now clears the way for drilling to commence on the Lakanfla and Tabakorole gold projects in Mali in the first quarter of next year."
Altus Strategies shares were up 5.2% at 4.74 pence each on Monday afternoon in London.
By Tapan Panchal; tapanpanchal@alliancenews.com
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