Kodal Minerals (LON: KOD) shares are on the rise after the company confirmed it has acquired the minority shareholdings of the original vendor parties of the Bougouni Lithium Project in Southern Mali.
Kodal has acquired the retained 10% interest in concessions from original owners Gorutumu Mining SARL and Triumvirat Mining Company SARL, meaning Kodal has a 100% interest in all concessions of the Bougouni Lithium Project.
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The deal will see Gorutumu and Triumvirat receive a cash payment of $600,000 and a net smelter return royalty for production.
The acquisition of the minority interests allows the company to further explore development and financing opportunities at the project.
Bernard Aylward, CEO of Kodal Minerals, commented: “The Bougouni Lithium Project has consistently demonstrated the potential for the development of a new long-life lithium mine in southern Mali.
“These acquisitions provide Kodal and its shareholders with 100% ownership of the Bougouni concessions and full exposure to development of the existing 21Mt at 1.1% Li2O that is defined at the Project, as well as continued expansion through ongoing exploration activity.”
Kodal Shares rose to a high of 0.38p on the news. They are trading at 0.352p, up 5.74% at the time of writing.
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