AngloGold Ashanti signs acquisition agreement with EcoGraf for mine in Tanzania

AngloGold Ashanti subsidiary AngloGold Ashanti Holdings has entered into a binding $9 million (A$13.5 million) five-year vesting agreement with EcoGraf for gold exploration at the gold project Golden Eagle in Tanzania.

The project, owned by EcoGraf subsidiary Innogy, is located in the prolific Lake Victoria Goldfields.

Under the agreement, AngloGold will make an initial payment of $100,000 to Innogy following the granting of prospecting licenses by the Tanzania Mining Commission.

AngloGold can gain a 70% stake in the Golden Eagle project by investing $8.9 million over five years, with EcoGraf retaining a 30% stake.

You also have the option to withdraw from the agreement after a minimum spend of $900,000, which covers the commitment for the first two years.

In this case, all data and samples collected during the scan will be returned to EcoGraf.

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Once a 70% stake is obtained, EcoGraf can choose to maintain its 30% stake or convert it to a gross revenue royalty if AngloGold takes the project to production.

The Golden Eagle Project has been undergoing extensive due diligence by AngloGold since May of the previous year.

Located in the Singida and Manyara regions, the project is considered a high-quality gold asset with the potential to discover multi-million ounce gold deposits.

It is located in the same structural corridor as the former Golden Pride 2 gold mine and close to the Winston gold deposit, known for its high-grade gold finds.

The geology of the region is marked by Archean greenstone belts within a granitic complex, and gold is predominantly found in veined shear zones.

Additionally, the project includes two outstanding prospecting licenses covering 578 km² and is part of AngloGold’s renewed exploration efforts in Tanzania.

AngloGold has established a dedicated exploration office in Dodoma, Tanzania.

EcoGraf, through Innogy, also owns the Northern, Southern and Western Borders projects, which show promise for Proterozoic nickel, lithium and gold mineralization.

Its portfolio in Tanzania extends to additional gold, nickel and lithium exploration assets, which are currently attracting interest from several corporate groups.

EcoGraf CEO Andrew Spinks said: “Golden Eagle’s acquisition agreement with AngloGold Ashanti, the world’s fourth largest gold miner, demonstrates the strong technical quality of Innogy’s assets and is a further vote of confidence. in the Tanzanian mining industry.

“This deal is a great result for our technical team, as it provides a path to realize value for our shareholders from EcoGraf’s complementary mineral assets.

“It provides positive exposure to the rising gold price for our shareholders while the company focuses on developing its battery anode materials business for the lithium-ion battery market.”

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