#JustIn: Sulliden offers millions for stake in Damara Project

Sulliden Mining Capital Inc. has entered into a share purchase and subscription agreement, pursuant to which the Toronto-based company has agreed to purchase and subscribe for up to 70% of the total issued and authorised ordinary par value shares of a Namibian private company, Privco.

Privco holds, either directly or through option agreements, 14 exclusive prospecting licenses (EPLs) representing 307 778 hectares of exploration licenses, including the Khorixas Gold Project, the Omatjete Gold and Lithium Project, and the Outjo Gold Project, collectively known as the Damara Project.

“The Damara Project is anticipated to provide Sulliden access to three distinct project areas that are highly prolific for gold and lithium deposits within Namibia,” the company said in statement today.

The proposed transaction is worth nearly N$151 million at the current exchange rate.

Rennie Morkel, chief executive officer of Sulliden, commented: “We are delighted by this acquisition announcement which reinforces our continued commitment to investing in strategic metals, and which also brings about what we anticipate will be a great future opportunity in Namibia.

“Closing this transaction will further increase our portfolio to add gold and lithium metals in a stable and well governed region, consolidating Sulliden’s ability to leverage expected profitable projects depending on market trends. Together with our other international projects, the lithium component of the transaction will cement our position in the supply of future global energy transition metal demands.”