30
July 2024
Rwanda Exploration
Update
Aterian Plc
("Aterian" or the
"Company")
Aterian plc
(LSE:
ATN), the critical metal-focused
exploration and development company, is pleased to provide an update on Rwandan exploration
activities by its Rwandan subsidiary, Eastinco Limited
("Eastinco").
Highlights:
·
Eastinco has been formally invited by the
Rwanda Mines, Petroleum and Gas Board ("RMB") to negotiate terms
for a significantly larger mineral exploration licence for the
Musasa project area in Rwanda.
·
Eastinco will exercise its option to
acquire the 15 % minority partner interest from Kuaka Cooperative
("Kuaka"), its partner in the Musasa project.
·
Eastinco announces that it has sent a
joint venture termination notice to its partner, Dynasty
Construction ("Dynasty").
·
The Government of Rwanda recently
announced that it has partnered with Rio Tinto Minerals Development
Limited ("Rio Tinto") to collaborate in mineral exploration
activities and potential mineral development and mining operations
for lithium, tin, tantalum, tungsten and associated metal deposits
in Rwanda.
The Musasa licence area is
known for its significant mineral potential, showing prospective
mineral opportunities for lithium, tantalum, niobium, tungsten, and
tin. The RMB invitation to negotiate final terms for the
exploration agreement marks a key step forward in Eastinco's
strategic expansion within the region and, upon completion, will
increase Eastinco's total Rwandan project exploration area by no
less than 350 hectares to 3,100 hectares. The new licence area
significantly increases the licence area from 50 hectares under the
original agreement with Kuaka.
This development aligns with
our commitment to exploring and developing mineral resources that
can contribute to the energy transition and sustainable economic
growth and development. Eastinco has also agreed terms with its
existing Musasa project partner, Kuaka Cooperative, to acquire the
15 % of equity presently held by Kuaka in exchange for the
provision of mineral processing assistance and equipment. The
provision of equipment and expertise has been provided and no cash
consideration is required to acquire Kuaka's holding. The Musasa
licence will be 100 % held by Aterian plc's wholly-owned subsidiary
company, Musasa Mining Limited.
Following Dynasty's failure
to renew the exploration licence in a timely fashion, Eastinco has
terminated the Dynasty joint venture agreement. The Company will
seek to advance exploration efforts at both the Dynasty site and,
more generally, in the area near HCK in conjunction with its
existing Rio Tinto Exploration partnership. The assay results from
the HCK geochemical samples collected by Rio Tinto have been
returned and drill sites finalised.
Last week, the Government of
Rwanda announced that the Rwanda Development Board ("RDB") has
partnered with Rio Tinto to "collaborate in mineral exploration
activities and potential mineral development and mining operations
in lithium, tin, tantalum, tungsten and associated metal deposits
in Rwanda.[1]" Significant large-scale
exploration and target identification activity will be undertaken
by Rio Tinto across large swathes of Rwanda. This significant
announcement reaffirms the country's mineral potential as a new
mining destination in its own right.
Mr. Charles Bray, Chairman of
Aterian plc, commented:
"We are very
honoured to receive this licence invitation from RMB. The newly
expanded Musasa licence area presents an exciting opportunity for
the Company in a country we deem to be highly prospective for
critical minerals, and we are eager to engage in and conclude
discussions with RMB to finalise the terms of this exploration
licence. As we advance our exploration activities in the south at
HCK with Rio Tinto, we continually seek to add new high-potential
exploration projects and joint ventures to advance independently,
with several under review. We are highly encouraged by the recent
Rio Tinto joint venture with the Rwandan government, as these
exploration activities will delineate targets and benefit all
mining industry stakeholders. We are also confident that our
mineral exploration expertise and commitment to responsible mining
practices will continue to add significant value to the country's
mining industry."
The Company will now enter
into negotiations with RMB to finalize the terms of the exploration
licence. Further updates will be provided to shareholders and
stakeholders as these discussions progress.
- ENDS -
This announcement contains information which,
prior to its disclosure, was inside information as stipulated under
Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations
2019/310 (as amended).
For further information, please visit the
Company's website: www.aterianplc.com or
contact:
Aterian Plc:
Charles Bray, Executive Chairman - charles.bray@aterianplc.com
Simon Rollason, Director - simon.rollason@aterianplc.com
Financial Adviser and Joint
Broker:
Novum Securities Limited
David Coffman / George Duxberry
Colin Rowbury
Tel: +44 (0)207 399 9400
Joint Broker:
SP Angel Corporate Finance LLP
Ewan Leggat / Kasia Brzozowska
Tel: +44 20 3470 0470
Financial PR:
Bold Voodoo
- ben@baldvoodoo.com
Ben Kilbey
Tel: +44 (0)7811 209 344
Notes to Editors:
About Aterian plc
www.aterianplc.com
Aterian plc is an LSE-listed exploration
and development company with a diversified African portfolio of
critical metals projects.
Aterian plc is actively seeking to acquire and develop new
critical metal resources to strengthen its existing asset base
whilst supporting ethical and sustainable supply chains as the
world transitions to a sustainable, renewable future. The
supply of these metals is vital for the development of the
renewable energy, automotive and electronic manufacturing sectors
that are playing an increasing role in reducing carbon emissions
and meeting climate ambitions globally.
The Company has entered into a joint venture
agreement with Rio Tinto Mining and Exploration
Limited for Rio Tinto to earn into the HCK project in
southern Rwanda exploring and developing
lithium-tantalum-niobium-tin mining operations. Aterian currently
holds a portfolio of multiple copper-silver and base metal projects
in the Kingdom of Morocco, with a total area of 897
km2. In January 2024, the Company announced the
acquisition of a 90% interest in Atlantis Metals. This private
Botswana registered company holds seven mineral prospecting
licences for copper-silver in the Kalahari Copperbelt and three for
lithium brine exploration in the Makgadikgadi Pans region. The
total licence area in Botswana is 4,486 km2.
The Company's strategy is to seek new
exploration and production opportunities across the African
continent and to develop new sources of critical mineral assets for
exploration, development, and trading.
About RDB
The Rwanda Development Board
is a government agency committed to accelerating Rwanda's economic
development by enabling private sector growth. Its focus includes
investment promotion, tourism development, and the facilitation of
business. Learn more about the Rwanda Development Board
at www.rdb.rw
About RMB
The Rwanda Mines, Petroleum,
and Gas Board (RMB) is Rwanda's government body responsible for
developing policies, strategic plans, and regulations for the
country's mineral, quarry, oil, and gas resources. RMB is tasked
with conducting thorough research and exploration in the fields of
geology, mining, oil, and gas, ensuring the sustainable and
responsible development of Rwanda's natural resources. Learn more
about RMB at www.rmb.gov.rw