Orion Minerals requested that an immediate trading halt be placed on its securities yesterday as it was anticipating to make a material announcement in relation to exploration results at its Okiep Copper Project in the Northern Cape.
The trading halt was requested until the commencement of trade on Monday, or such earlier time as Orion makes an announcement to update the market in relation to the exploration results.
Orion managing director and CEO Errol Smart will host a live investor webinar to provide an update on recent progress at the company’s two copper development assets, the Prieska Copper Zinc Mine (PCZM) and Okiep Copper Project, both located in the Northern Cape province.
The Australian-based miner has signed addenda to agreements for acquiring a controlling interest in the Okiep Copper Project.
Acquisition agreements are in the process of being signed to allow closing in several stages as and when the outstanding conditions precedent are met.
The remaining total aggregate purchase consideration of about R59.60 million (approximately A$4.88m) payable by Orion, in combination of cash and issue of Orion shares remains unchanged, with inflation adjustment for deferred phases of consideration also payable.
Smart on Wednesday had said they were extremely pleased that they had finally received confirmation that the majority of the outstanding conditions had been fulfilled for the acquisition of the Okiep mineral rights first announced on February 2, 2021.
“While we have been able to continue operating on the properties and progressing the projects, we have now moved to finalise the Flat Mines Bankable Feasibility Study on the NOM (New Opiek Mining) Mining Right,” he said.
“We are now only awaiting the approval of the water use licence before the project is fully permitted, allowing us to commence mine development. The timing is therefore opportune to complete the acquisition of the Mining Right before progressing the funding of the mine.
“The conclusion of the BFS report is only awaiting the results of confirmation drilling and metallurgical test work that is currently under way and is expected to be concluded by June 2024.”
BUSINESS REPORT