GoviEx’s acquisition of African Energy Resources finalised

JOHANNESBURG (miningweekly.com) – Dual-listed GoviEx Uranium has completed the acquisition of African Energy Resources’ uranium interests in Zambia.

“The combination of African Energy’s Chirundu and Kiraba Valley tenements with GoviEx’s Mutanga project finally unites these neighbouring properties and significantly expands and improves the potential economies of scale.

“GoviEx will now focus on completing a preliminary economic assessment based on the consolidated landholding,” GoviEx executive chairperson Govind Friedland said in a statement on Monday.

Under the terms of the transaction, GoviEx acquired African Energy’s wholly-owned Zambian subsidiaries, Muchinga Energy Resources, which holds the Kariba Valley tenement, and Chirundu Joint Ventures Zambia, which holds the Chirundu tenements.

In exchange, GoviEx issued African Energy three-million common shares of GoviEx and warrants to buy 1.6-million common shares of GoviEx.

Each consideration warrant is exercisable until October 30, 2020, subject to certain acceleration provisions, for one common share of GoviEx at a price of $0.23 a share.