Askari Metals has announced the completion of the acquisition of EPL 8535 Uis Lithium Project in Namibia, which covers approximately 195 square kilometres.
Pursuant to the terms of the binding agreement between the company and the shareholders of Earth Dimensions Consulting, Askari has incorporated a local wholly owned Namibian subsidiary which owns the initial 80% interest in Earth Dimension Consulting.
The remaining 20% interest is held by the existing shareholders of Earth Dimensions.
Askari, as part of the transaction, has issued the shareholders of Earth Dimensions a total of 4 million ordinary shares, of which 20% are freely tradeable with the remaining balance subject to escrow for a 12-month period from the date of issue.
Completion of the acquisition of the 80% interest in EPL 8535 satisfies the first condition precedent pursuant to the subscription agreement entered into between the company and Zhejiang Huayou Cobalt.
“The Company is very pleased to have completed the acquisition of the 80% interest in EPL 8535 as it continues to advance towards completion pursuant to the Subscription Agreement with Huayou. Exploration RC drilling continues at EPL 8535 with numerous thick pegmatites having been intersected. The Company anticipates providing Shareholders with an update on its exploration activities shortly.”
China’s Huayou Cobalt, which boasts a market cap of approximately US$12.8 billion, entered into a conditional agreement to invest N$30 million (A$2.5 million) in Askari.
Askari Metals is an Australian battery and precious metals exploration and development company focused on its portfolio of projects across Australia and Namibia, Africa.
The company currently holds the Yarrie Lithium, Hillside Lithium, Myrnas Hill Lithium, Horry Copper, Callawa Copper, Burracoppin Gold, Mt Maguire Gold and Base Metal, and Red Peak Rare Earth Element (REE) projects in Western Australia.
The company also holds the Barrow Creek Lithium Project in the Northern Territory, the Springdale Copper-Gold Project in New South Wales, and the Uis Lithium Project in Namibia.
