Increased investment in Kalahari Copper Belt
Stake in T3 project sold to joint venture partner
Good progress at start of 2019 after "transformational" 2018
What Metal Tiger does:
Metal Tiger is an AIM-listed firm that invests in natural resources projects and companies.
Its direct equities division invests in natural resource companies listed on London’s junior market AIM, the Australian Stock Exchange and the Toronto Stock Exchange.
The direct projects division focuses on the development of key projects in Botswana, Spain and Thailand.
What it owns:
The company owns 59.81% of Kalahari Metals Ltd, which owns the Ngami and Okavango copper projects in Botswana.
Elsewhere, Metal Tiger has stakes in the Logrosán exploration gold and tungsten project in Spain and the Boh Yai silver-lead-zinc mine in Thailand.
- During 2018, the company sold its 30% stake in the T3 copper project to MOD Resources Limited (LON:MOD) (ASX:MOD).
- Metal Tiger said on Friday that it would invest a further US$1.1mln in Kalahari Metals Limited, raising its stake to 59.8% from 50.0%. Kalahari holds interests in 12 highly prospective exploration licences in the Kalahari Copper Belt.
- Drilling is due to start in the first week of June on Kalahari Metals’ Ngami copper project following environmental sign-off from the authorities in Botswana. This first-phase, 2,100-metre programme will test what's called fold-hinge geology over three areas. Once this initial pass is completed, the drill rig will be deployed on the Okavango copper project.
- A drill programme at the Logrosán project has yielded five high-grade tungsten intersections as well as three high-grade gold intersections. The tungsten intersections had an average grade of 0.3% tungsten trioxide, compared to the typical grade of 0.1% for commercial tungsten deposits. The gold intersections meanwhile, had ranged between 9.7 grams per tonne (g/t) and 96.2 g/t.
- In Thailand, the group cut costs last year as it awaited the implementation of the new Minerals Act and associated regulations, which were completed in December. The company believes there is the potential to “increase significantly” the resources at the Boh Yai lead-zinc-silver mine through a modest exploration drill campaign and looks forward to progressing the project.
What the CEO says:
Chief executive Michael McNeilly said 2018 was a “transformational year” for the group with significant progress being achieved across its investment portfolio.
“Most notably, the sale of the T3 project has set the group up for potential future success through the group’s increased footprint in the highly prospective Kalahari Copper Belt, whilst eliminating the cash exposure associated with funding the development of the T3 project.
“We have continued to make good progress in 2019 across both our direct projects and direct equities divisions and look forward to further value realisation across our portfolio.”
On the group's increased exposure to the Kalahari Copper Belt, he said the project was "highly prospective and we are confident that continued exploration work in the region will potentially result in new, exciting copper discoveries.”