RNS new JV - sounds like huge potential30 Dec 2021 07:32
The JV Agreement provides Galileo the right to earn an initial 75% interest in a special purpose joint venture company (the "JV Company") to be established under Zambia law to, with Ministerial Consent, acquire the Licence, and the technical information and other information and assets related to the Luansobe Project by making an initial payment of US$200,000 and a second payment of US$200,000 in the initial period from the date of the JV Agreement by 20 February 2022 (the "Initial JV Period") and issuing 5,000,000 Galileo shares to the Vendor. Based on the closing price share price of 0.98 pence on 29 December 2021 the last practicable date prior to this issue of this announcement, the aggregate consideration will be approximately £350,000.
Project near giant Mufulira copper mine
The Luansobe prospect is situated some 15km to the northwest of the Mufulira Mine site, with mineralisation occurring as stratabound layers and lenses dipping at 30 degrees to the northwest along the same stratigraphic horizon as the giant Mufulira copper mine, which produced well over 9Mt of copper metal during its operation.
Very prospective historic studies
The Company has access to historic non JORC compliant reports provided by the Vendor based on previous exploration on the Project.
Copper mineralisation is reported to occur over about 3km of strike and to at least 1,250m depth. A 1974 report suggests the potential for a non-JORC compliant global resource of over 20Mt @ 2.51% Cu, with a significant proportion of oxide mineralisation occurring in the upper 70m, below the leached cap. Based on these reports the deposit appears open and relatively untested at depth
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