GoviEx sells Falea to develop Muntanga, Madaouela projects

GoviEx has entered into a sale agreement with African Energy Metals (AEM) for its subsidiary Delta Exploration in Mali.

According to the company Delta holds three contiguous exploration licences – Falea, Bala, and Madini collectively known as the Falea project. The sale of the Falea project is part of GoviEx’s strategy of focusing on its two advanced mine permitted projects, Madaouela in Niger and Muntanga in Zambia.

“This is a strategic deal which will allow GoviEx shareholders to maintain a significant interest in the Falea project whilst allowing the Company to concentrate its efforts on the continued exploration and development of its two mine-permitted, advanced stage development uranium projects, Madaouela and Muntanga.

“Falea is a solid project with fantastic exploration potential and African Energy Metals is well placed to manage its development going forward, with in-country knowledge and experience,” said Daniel Major, Chief Executive Officer of GoviEx.

AEM has agreed to acquire all of the outstanding shares of Delta for a purchase price of $5,500,000.

“We are excited to become involved in the Falea project. It is a polymetallic project with a significant uranium resource. GoviEx will become an important shareholder of African Energy Metals and our shareholders will have the continuing benefit of their knowledge and mining expertise. Less than five percent of the property has been explored, so there is substantial exploration upside for uranium, copper, gold, and silver,” said Stephen Barley, Executive Chairman of African Energy Metals.

The Falea project is a polymetallic (uranium, silver, and copper) deposit located in Mali, approximately 350 km west of the capital Bamako.

In addition, the Falea and Bala areas are highly prospective for unconformity type polymetallic uranium copper-silver deposits.

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