Giyani Acquires Two Past Producing Manganese Mines
November 17, 2016 (Source) — Giyani Gold Corp. (TSX VENTURE:WDG)(FRANKFURT:KT9)(JSE:GIY) (“Giyani” or the “Company”) announces that the Company has signed a Letter of Intent (“LOI”) with Menzi Battery Metals Pty Ltd (CO2016/1660) (“Menzi”) to acquire a 70% interest in two past-producing high-grade manganese mines in Zambia.
The Kampumba and Chiwefwe Manganese open-pit mines operated between 1954 and 1968 producing a total combined estimate of 360,000 tonnes at grades exceeding 50% manganese. The mines are close to infrastructure such as gravel roads, railway, power and labour. Geophysical survey data and historical non-NI 43-101 compliant resource estimates indicate significant manganese potential.
Under the terms of the LOI, Giyani has agreed to make a US$200,000 cash payment and work commitment of US$1 million over five years to Menzi upon completion of due diligence, title review and completion of a definitive agreement.
Giyani has engaged Boswell Projects as the project manager for its portfolio of assets in southern Africa. During the effective period of the LOI and subsequent agreements, Boswell Projects will complete a due diligence review of the assets, and will assess the potential for near-term production from these mines. Boswell Projects will also be providing Giyani with other corporate services.
This acquisition of past producing high grade manganese mines, in combination with Giyani’s manganese projects in Botswana, will expand the Company’s portfolio of manganese assets and continue the advancement of Giyani’s strategy to acquire raw materials for the growing battery industry.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
On behalf of the Board of Directors of Giyani Gold Corp.
Duane Parnham, Executive Chairman
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.