Golden Square Equity Partners acquires DRC gold deposit
AIM-listed Arc Minerals has agreed to sell its 99.43% interest in Casa Mining Limited to Golden Square Equity Partners for a consideration payable of up to $50 million.
Casa is a private company which owns a 73.84% interest in the Akyanga gold deposit in the Democratic Republic of the Congo.
Nick von Schirnding, chairman of Arc, commented, "This transaction is a major step forward for Arc. Following the disposal of our interests in Slovakia and Eritrea, the sale of Casa turns Arc into a pure-play copper company with our exciting Zambian copper development where we intend to recommence our drilling programme in Q2 of this year. Given the extremely challenging market conditions we are experiencing with Covid-19, this transaction is attractive to Arc with a potential $5 million cash payment upon the maturity of the loan note in March 2021 and a potential royalty of up to $45 million going forward, allowing us to share some of the future upside at Casa."
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