to Acquire 100% of Tanlouka Permit
Perth, Mar 5, 2014 AEST (ABN Newswire) - West African Resources Limited (
ASX:WAF) (CVE:WAF) ("West African" or the "Company") is pleased to announce it has entered into an agreement to acquire the remaining 10% of the Tanlouka Permit, part of the Boulsa Project, Burkina Faso. The acquisition will take West African to 100% ownership of the permit.
The acquisition, which is conditional on completion of a positive feasibility within 18 months, comprises the following consideration:
- US$50,000 on execution of the agreement
- Issue of 2,500,000 ordinary shares in West African Resources Ltd and payment of US$250,000 following completion of a positive feasibility study on the Tanlouka permit
West African expects to develop significant corporate and scheduling benefits from having 100% control of the project. The agreement adds certainty to potential project financiers for the future development of the Mankarga 5 deposit, part of the Tanlouka Permit.
The Company has set a goal of being a +50,000oz per annum gold producer within two years, subject to study outcomes, via a low-cost heap leach starter project.
West African announced last week it had secured a second-hand 1.6Mtpa heap leach plant as part of its plan to fast-track development of Mankarga 5.
Significant exploration potential remains throughout the Tanlouka permit, including existing targets at Mankarga 1 and the untested Manesse and Tanwaka soil anomalies.
Commenting on the acquisition, West African's Managing Director Richard Hyde said: "Reaching agreement to take our ownership of the Tanlouka permit to 100% is an important milestone for us.
"We are moving on quickly following the acquisition of Channel Resources in January. We will deliver a resource upgrade for Mankarga 5 by the end of this quarter, and complete a Preliminary Economic Assessment and Scoping Study in the first half of calendar 2014."
About West African Resources Limited
West African Resources Limited (
ASX:WAF) (CVE:WAF) is a gold-copper exploration company dedicated to creating shareholder value through the acquisition, exploration and development of resource projects in Burkina Faso, West Africa.
West African has a landholding of 6,370sq km and 200km of strike length of early Proterozoic Birimian greenstone belts, which are highly prospective for gold mineralisation.
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