Think Environmental secures two more gold mining licences in Africa’s Mali

Gold mining firm The Think Environmental Co has laid its hands on two more mining licences in Mali, Africa.

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Think Environmental secures two more gold mining licences in Africa’s Mali

By FELDA CHAY
18 June 2011

Gold mining firm The Think Environmental Co has laid its hands on two more mining licences in Mali, Africa.

Yesterday, the company said that its 70 per cent owned subsidiary, Mornington Offshore, has agreed to purchase licences that will allow it to conduct gold exploration and mining works on two sites in Mali for a total of US$525,000. The licences were sold by Sourakata Mining & Trading (Somi) to Mornington Offshore’s subsidiary, Emas Mali SA.

In a statement yesterday, Think Environmental said that Somi and Emas will also form a joint-venture company that will conduct exploration and mining works on one of the sites in the city of Bougouni in Mali. The licence to the site, called Batouba, will cost US$300,000.

The amount will be paid in stages, with US$75,000 to be paid upon execution of the agreement, and another US$75,000 three months from the date of signing the agreement. The remaining half will be paid once the mining licence is transferred to the joint venture from Somi. Emas will own 80 per cent of the joint venture, and Somi the remaining 20 per cent.

The second licence Emas bought from Somi will allow the company to mine gold in Mali’s Bida district, and cost US$225,000. Of this, US$75,000 will be paid upon the execution of the agreement, while the remaining sum will be paid if Emas is satisfied with the results of a geophysical airborne programme to detect the presence of ore minerals. Under the agreement with Somi, Emas is allowed to carry out the study over a four-week period.

‘In the event the results of the geophysical airborne programme are satisfactory and subject to payment of the balance consideration of US$150,000, Emas may elect to transfer the Bida licence to the joint venture company,’ said Think Environmental. The sites will be evaluated for their short-term gold recovery potential, said Think Environmental.

The latest licence purchases mean that Think Environmental now owns and operates 12 concessions, said the firm in a press statement. The group’s chief executive officer Nik Ibrahim Kamil said that its immediate priority is to put as many of these sites into early production as is possible.

At the same time, it will continue to purchase licences in the region, he said. ‘South Mali continues to be a place of strong gold recovery potential and we have identified the Batouba and Bida licences to be included in our total licence holdings,’ he said.

Yesterday, the group’s shares fell 1.2 per cent, or one cent, to close at 81.5 cents.

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