[ DR. Congo] Kisenge Mining in stake hunt for Mpokoto gold project

Armadale Capital PLC has announced that Kisenge Mining Pty Ltd has exercised its option to take a stake in the Mpokoto gold project in the Democratic Republic of Congo and to operate the asset.

Armadale shares were up 13 per cent to 4.11 pence per share at the start of the week.

Kisenge, previously known as African Mining Services, has exercised its option to form a joint venture at Mpokoto under the heads of terms signed in late September.

The first phase will allow Kisenge to earn up to a 25 per cent stake by funding $1.3 million worth of work, including metallurgical testwork and refining of the definitive feasibility study to incorporate financing the project and initial capital works, Armadale said.

Once the first phase is completed, Kisenge has 30 days to decide whether to exercise another option to proceed with the second phase. If Kisenge exercises that option, it will be responsible for securing funding to bring Mpokoto into production. If it organizes 100 per cent of the funding, Kisenge will earn another 60 per cent stake in the project, taking its total holding up to 85 per cent.

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