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The Zambian government has formally confirmed Volt Resources exploration and mineral processing licence at its Luiri Hill Gold Project’s in south-central Zambia.
Volt Resources has done significant exploration work on the Luiri Hill Gold Project in south-central Zambia. Image credit: Volt Resources
Volt acquired the project from several Zambian shareholders invested in a company called Cupriferous Resources and Bukomo Mining earlier this year. The large-scale exploration licence covers an area of about 31km2 in south-central Zambia.
Under the terms of the Binding Term Sheet dated 18 May 2020, Volt will acquire an 85% interest in the Luiri Hill Gold Project to form a partnership with the current Zambian shareholders of Cupriferous and Bukomo for the funding and development of the Luiri Hill Gold Project.
Completion of the acquisition is subject to the satisfactory completion of Volt’s due diligence enquiries, the execution of a share sale agreement in a form acceptable to Volt, as well as the approval of Volt shareholders to the issue of the consideration shares.
Volt has already obtained the project database containing historical drilling, sample analysis, resource models and reports, metallurgical reports, and feasibility studies. The estimated value of this and other information is worth more than USD20-million and would take a number of years to replicate.
“Obtaining confirmation of the good standing of the Luiri Hill Gold Project licences is a key step forward for the acquisition. The company has taken the opportunity during the due diligence process to further develop our understanding of the project and progress with key programs of work to identify the best pathway to early production. Volt has already shown its strong commitment to the development of the Luiri Hill Gold Project through the activities it has undertaken in the short time since we signed the Binding Term Sheet,” says Trevor Matthews, managing director at Volt Resources.