viewArc Minerals Limited

UPDATE - Ortac Resources makes moves into Zambian copper with new investment



AIM-quoted Ortac (LON:OTC) has furthered its exposure in Africa - investing in a private firm, which holds a prospective copper licence in Zambia.

It has agreed an initial subscription of US$600,000 of convertible loan notes for 10.71% stake in Zamsort, which allows for due diligence with a call option valid for one year which, if exercised, would allow a further subscription by Ortac of US$600,000 loan notes and increase Ortac's stake in Zamsort to 19.35%.

Kalaba Cu-Co has an estimated non-JORC oxide resource of 16.59 million tonnes at 0.94% copper equivalent estimated in the small scale mining licence on limited exploration drilling carried out during the late 1990's.

More than 30,000 tonnes of screened ore grading at 3.5% acid soluble copper (ASCu) are stockpiled on the site, ready to be shipped and toll treated.

Ortac's chief executive Vassilios Carellas said: "Zambia is considered to be one of the most politically stable and mining friendly countries in Africa with the Zambian copper belt being recognised as the leading source of copper from the African continent over the last decade.

"Copper mining in Zambia has gradually migrated westward. The most recent mine commenced production in 2014 and is located 40km to the east of Zamsort's Licence area.

"We consider the Kalaba Project to be one of the most exciting, undeveloped polymetallic assets in Zambia at the moment, offering existing small scale production along with the opportunity to explore a world class licence with the potential to host Zambia's next big mine development."

House broker SP Angel said: "This is a significant and potentially transformational deal for Ortac.  

"The Zamsort deal offers the chance for Ortac to start mining or to develop a larger resource for value generation."

Ortac shares surged 11.76% to 0.095p.

Quick facts: Arc Minerals Limited


Price: 4 GBX

Market Cap: £44.6 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of named herein, including the promotion by the Company of in any Content on the Site, the Company receives from said issuer annual cash...


Glencore mine shutdown could prompt a near-term price hike in Cobalt

Mining Capital's Alastair Ford says the closure of Glencore’s Mutanda mine in the DRC comes in response to the collapse in the cobalt price over the last year or so. ''The price went very high in 2017 and then came back down and now it's at the $15/lb level which is where it started its rise...

on 16/8/19

2 min read