Ortac Resources Ltd / Epic: OTC / Market: AIM / Sector: Mining & Exploration
10 November 2017
ORTAC RESOURCES LTD
("Ortac" or the "Company")
Confirmation of Proposed Acquisition of Casa Mining Ltd.
Following the announcement made on 6 November 2017, Ortac is pleased to confirm that it has completed the acquisition of the 33.82% shareholding in Casa Mining Ltd ("CASA") (the "Acquisition"). In addition, Ortac has converted its existing convertible loan note issued to Ortac by CASA (which was amended as per the announcement made on 6 November 2017) (the "Conversion").
Completion of the Acquisition and the Conversion on 9 November 2017 resulted in Ortac having an approximately 70% shareholding in CASA.
Further, on 9 November 2017 immediately following completion of the Acquisition Ortac made a binding public offer to acquire the balance of the shares in CASA from the minority shareholders at the same price per share as provided in the Acquisition (the "Offer").
The Offer will remain open for six months commencing from 9 November 2017.
Assuming that all Casa shareholders accept the Offer, Ortac will own 100% of the issued share capital of CASA.
The Acquisition represents a major step forward in the delivery of the Company's revamped strategy, announced on 11 September 2017, to focus on its high potential African exploration mining assets. The board believes the acquisition of CASA presents a valuable near term opportunity for Ortac and its shareholders with recent drilling results indicating a potential gold resource in excess of 2 million ounces.
The Company has today made an application for a block admission of 100,000,000 new Ordinary Shares to trading on the AIM market of the London Stock Exchange plc ("Admission").
About Casa Mining Ltd.
CASA is a private Mauritian registered company that is the 71.25% owner and operator of the Misisi Gold Project located in South Kivu, eastern DRC, approximately 350km south of Bukavu and 180km north of Kalemie.
The CASA licence area consists of three contiguous mining licenses (133km2), issued in March 2015 and valid for 30 years. These licenses encompass a 60km strike length of the Tanganyika graben within the Rusizian belt ("Misisi Corridor"), including the Akyanga deposit along with the Lubitchako, Tulongwe, Kilombwe and Mutshobwe prospects.
The licences have benefited from considerable capital expenditure to date, including regional geophysical surveys completed in 2011, 19,522m of diamond drilling, 2,720m of reverse circulation drilling and excavated 6,274 line metres of trenches.
At CASA's most advanced project, the Akyanga deposit, African Mining Consultants ("AMC") in June 2017 reported a mineral resource, within a US$1,250/oz gold selling price optimised pit shell, which defined a 1.05Moz JORC inferred resource @ 2.27 g/t Au (using a 1.5 g/t Au cut-off) within a lower grade envelope of 1.57Moz @ 1.65 g/t Au.
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.
Ortac Resources Ltd
Nick von Schirnding (Chairman)
+44 (0) 20 7389 9050
SP Angel (Nominated Adviser & Broker)
Ewan Leggat / Lindsay Mair / Soltan Tagiev
Celicourt Communications (PR)
Mark Antelme / Jimmy Lea
+44 (0) 20 3470 0470
+44 (0) 20 7520 9261
For additional information please visit - www.ortacresources.com
This information is provided by RNS