Moab Minerals is branching out into Africa in a farm-in agreement with private UK company CAA Mining that is exploring six lithium-rich licences in Ghana.
Moab Minerals has invested in lithium-focused CAA Mining for £750,000 (~$1,492,500) acquiring an initial 14.64% interest in the company.
CAA Mining is an unlisted UK-incorporated explorer focused on lithium and gold in Ghana, and is party to an earn-in agreement to acquire up to 85% of Lithium Resources Ghana by spending US$8 million to acquire any or all of Lithium Ghana’s six lithium prospecting licenses.
The licenses, covering more than 730km2, are along strike from Australian explorer Atlantic Lithium’s Ewoyaa lithium discovery which has a mineral resource estimate of 35.3mt @ 1.25% Li2O, with a definitive feasibility study on its way.
CAA Mining is seeking to raise at least US$4m to conduct initial exploration work and seek a listing on a recognised securities exchange.
“Following significant due diligence, we are very pleased to announce the investment in such high-potential lithium projects in Ghana,” Moab MD Malcom Day commented.
“The board believes the investment is an excellent strategic fit for Moab and will add short and long-term value to Moab shareholders.”
Elsewhere, Moab is planning a 21-hole drill program to test for extensions to uranium-vanadium mineralisation at its REX project in Colorado, of which it owns 60%.