RNS6 May 2016 08:08
Taking a backseat with Tembo to focus in West Africa Hmmm thats where GRL are?!
Tembo Financing and Change of Director
Stratex International Plc, the AIM-quoted exploration and development company focused on gold and base metals in East Africa, West Africa and Turkey, where it holds a significant interest in a producing gold mine, notes that Tembo Gold Corp ("Tembo"; TSXV: TEM), in which the Company holds a 12.89% interest, has been granted a management cease trade order ("MCTO") due to a delay in Tembo filing its annual audited consolidated financial statements and related documentation (collectively, the "Required Filings"; Tembo Press Release dated 2nd May 2016). The MCTO prohibits trading in securities of the company, either directly or indirectly, by Tembo's CEO and CFO until Tembo makes the Required Filings. Tembo anticipates that it will file the Required Filings by 29th June 2016, at which point the MCTO will be revoked. The MCTO does not affect the ability of Tembo's shareholders to trade in Tembo's securities.
The Company also notes that Tembo plans to undertake a non-brokered private placement (the "Placement") of up to 20,000,000 common shares (each a "Share") at a price of C$0.02 per Share (Tembo Press Release dated 26th April 2016). The Placement will raise gross proceeds of up to C$400,000, which will be used for working capital. The successful Placement would reduce Stratex's interest in Tembo to approximately 11.2%,.
The Company also advises that Stratex's CEO Bob Foster has tendered his resignation from the Tembo Board. Commenting, Bob Foster stated: "The move to secure further financing for Tembo is sensible given the rising gold price and the consequent re-awakening interest in gold projects and gold stocks. The Tembo tenements adjacent to Acacia Mining's Bulyanhulu Mine have yielded multiple gold intersections from previous drill programmes and it now remains to deliver a coherent resource with further drilling. Whilst retaining a significant interest in Tembo, Stratex is directing its future efforts and expenditures towards opportunities in West Africa, a region where we are particularly focused on exploration and the potential acquisition of projects. We also continue to consider opportunities in Turkey and the wider region where we have a strong footprint in terms of our intellectual and operating experience and a highly successful exploration team. To maintain this focus and the necessary commitment of time and effort, I have decided to step down from the Board of Tembo but will continue to monitor its developments with interest."
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