IFC Continuing Tete Project Participation
Sydney, Feb 7, 2012 AEST (ABN Newswire) - Baobab Resources plc (
LON:BAO), the iron ore, base and precious metals explorer with a portfolio of mineral projects in Mozambique, is pleased to announce that its Tete joint venture ('JV') partner, IFC, a member of the World Bank Group, has committed to supporting the 2012 exploration programme through a pro rata contribution of approximately US$1,900,000.
IFC participated in a placing in November 2008 and remains Baobab's single largest single shareholder with an interest in the Company of 5.78 per cent. In January 2009, IFC acquired a 15% participatory interest in the Tete magnetite-ilmenite project. Under the terms of the JV, IFC has committed to annual pro-rata contributions to the development of the Tete Project with Baobab funding the remaining portion and remaining as the project operator.
IFC creates opportunity for people to escape poverty and improve their lives. It fosters sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. IFC has a long and respected history of promoting sustainable mining in developing countries and is highly regarded as a long-term partner in mining development projects.
Commenting today, Jeremy Dowler, Baobab's Chairman said: "We are very pleased to announce the continued support of our partner IFC as we move from resource definition towards pre-feasibility studies at Tete. The corresponding contribution in 2011 was approximately US$1,290,000 and we anticipate that IFC will become more involved as the project progresses, for example in the facilitation of access to port, rail and power infrastructure."
A COPY OF THIS ANNOUNCEMENT IS AVAILABLE FOR DOWNLOAD FROM THE COMPANY'S WEBSITE:
http://www.baobabresources.com
About Baobab Resources plc
Baobab Resources plc (LON:BAO) is a Mozambican-focused explorer with a large landholding in the central north of the country. The company's flagship project is the Tete iron ore deposit.
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