From Yahoo Finance: 2025-03-26 06:03:00

Waraba Gold has entered an earn-in agreement to acquire up to an 80% stake in Somaco Global Resources, which holds two gold licence applications in Ivory Coast. The company plans to invest $5m in exploration over four years and issue six million common shares to earn the full stake.

The Sirasso licence spans 369.34km² and is located along the Senoufou greenstone belt. The Tengrela & Tiegba licences cover 398.7km² and 368.97km², respectively, and are near existing gold mines. An initial payment of $500,000 is due within two months under the agreement.

Waraba Gold will appoint two nominees from Somaco as directors. The company also plans to raise funds through debentures for the agreement and working capital. Operations at the Fokolore Gold Project in Mali have been suspended due to security concerns, despite a letter of intent for a mining permit.

CEOs of gold mining companies have expressed that Mali’s new mining code requires adjustments to attract investment. Waraba Gold aims to resume operations when conditions permit. The company’s acquisition of Somaco Global Resources in Ivory Coast is a strategic move in the gold exploration sector.

Read more: Waraba Gold to acquire stake in Somaco Global Resources in Ivory Coast