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Multi-mineral explorer Askari Metals Ltd (ASX:AS2) is set to acquire a gold project portfolio in Ethiopia which it hopes will provide it with first mover advantage when it comes to exploitation of a highly prolific greenstone belt in the country’s south.
Askari has executed a binding Share Purchase Agreement to take on all issued capital of Rift Valley Metals Pty Ltd, which owns the 460 square-kilometre project portfolio, located within the Adola Greenstone Belt – itself part of the Arabian-Nubian Shield.
The latter is a highly prolific geological region, which has produced discoveries in the multi million ounces of gold in Egypt, Sudan, Eritrea, Ethiopia, Saudi Arabia, and Yemen.
This includes Ethiopia’s only modern gold mines – Sakaro and Lega Dembi – which have together produced more than 3Moz to date.
The Arabian-Nubian Shield itself hosts numerous large-scale gold and copper deposits.
Executive Director Gino D’Anna said Askari’s move into this sector had the potential to yield significant rewards.
“The Adola Greenstone Belt, part of the prolific Arabian-Nubian Shield, represents one of the last mineral rich frontier belts offering significant exploration upside with multi-million-ounce potential,” he said.
“This acquisition positions Askari with a significant first mover advantage within this prolific gold-copper region.
“These assets are strategically located along strike of large-scale multi-million-ounce gold mines including the globally significant Sakaro and Lega Dembi deposits.”
Askari shares have shifted up since the announcement, and at 12:23 AEST, they were trading at 1 cent – a rise of 11.11% since the market opened.
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