Bezant (AIM: BZT), the copper-gold exploration and development company, is pleased to announce the conditional acquisition of 100% of Metrock Resources Ltd (“Metrock”) and its manganese mineral exploration licences in Southern Botswana comprising the Kanye Manganese Project.
Conditional Acquisition of 100% of Metrock Resources Ltd
and its mineral exploration licences in Southern Botswana,
comprising the Kanye Manganese project
Colin Bird, Executive Chairman of Bezant, commented :
“Bezant has in the last year been focussing on Southern Africa and has made significant additions to its copper gold portfolio in both Zambia and Namibia. This growing presence in Southern Africa gave rise to the opportunity to acquire the Kanye Manganese Project in Botswana in an area where high grade battery manganese has been discovered which is much sought after for tomorrow’s energy storage equation. The underlying mineral licences represent exploration rights to a very large area of highly prospective manganese bearing ground.
Botswana has an excellent reputation as a host for foreign mining investment and continues to be very supportive of mining initiatives. We are very excited with this opportunity, the project has clear evidence of manganese and immediate drill-ready targets which we intend to pursue early in the New Year once the Acquisition has completed. ”
Kanye Manganese Project Highlights:
· 4,043 sq km land package with 125 km of potential on trend manganese mineralisation across the licences
· Trenching results have yielded in the case on one prospect of between 53% and 74% manganese oxide (“MnO”)
· Bezant will acquire 100% of Metrock by i) issuing 150,000,000 new shares to settle 405,000 and ii) issuing 31,800,000 unlisted options exercisable at 0.40 pence per share up to 30 September 2024 and deferred consideration of £225,000 also to be settled in new shares should an Indicated Resource be delineated and settle Metrock’s creditors of £45,100 and acquire loans due by Metrock of £198,213 by issuing a further 84,597,407 new shares and paying approximately £14,900 in cash. The new shares to be issued on completion of the acquisition represent approximately 6.26% of the enlarged share capital after this share issue (further details provided below under the heading Share Purchase Agreement)
· Project Area being acquired is near the ground of a TSX listed public company that has a preliminary economic assessment showing high rates of return based on a MnO grade of 27.3
Colin Bird the Company’s Chairman and Raju Samtani the Finance Director of the Company are also directors of Tiger Royalties and Investments Plc which will on completion of the Acquisition be issued 28,314,815 Bezant Shares at an issue price of 0.27 pence per share (£76,450) which is the same basis on which the Loan Creditors of Metrock will be settled at Completion. The issue of Bezant Shares to Tiger Royalties and Investments Plc is not a related party transaction as it is less than 5% on the AIM class tests.
Colin Bird the Company’s Chairman is a minority (2.73%) shareholder in Metrock and at Completion of the Acquisition will be issued 4,087,193 Bezant Shares at a deemed issue price of 0.27 pence per Bezant Share (approximate value £11,035) being 2.73% of the Ordinary Shares Consideration. The issue of Bezant Shares to Colin Bird is not a related party transaction as it is less than 5% on the AIM class tests. Colin Bird currently owns 87,500,000 Bezant Shares representing 2.49% of the issued share capital of the Company. Upon completion of the Acquisition Colin Bird will own 91,587,193 Bezant Shares representing 2.44% of the share capital of the Company as enlarged by the issue of the Ordinary Shares Consideration and the Loan Accounts Consideration Shares
