(Sharecast News) - West Africa-focussed gold explorer Oriole Resources announced the renewal of the exploration licence for the Senala gold project in Senegal on Monday.
The AIM-traded firm holds an 85% interest in Stratex-EMC, the holding vehicle for the renewed licence, which it said was integral to the Senala project.
AGEM Senegal Exploration, a wholly-owned subsidiary of Managem Group, recently completed a six-year investment, acquiring an approximate 59% beneficial interest in Senala.
Following the guidelines of the Senegalese Mining Code, the surface area of the licence was reduced by 25%, now covering 354.5 square kilometres.
To retain tenure over key prospects, particularly Faré and Madina Bafé, the licence area was divided into two blocks.
The new licence was valid for three years from 17 February.
Oriole Resources said it is currently conducting a spending review to confirm AGEM's percentage ownership.
Discussions were also ongoing regarding the next steps, including the formation of a joint-venture company and associated technical committee, finalisation of a work plan and budget, and a decision by Stratex-EMC on whether to contribute to the work costs or dilute its percentage ownership.
At 1045 BST, shares in Oriole Resources were up 19.39% at 0.39p.
Reporting by Josh White for Sharecast.com.
Oriole (ORR)