Africazine:
Chinalco (Xiong’an) Mining Corporation Limited is investing significantly in Namibia’s Opuwo Cobalt-Copper Project.
The Chinese mining company has committed at least N.5 million (US million) for exploration and metallurgical testing as it seeks to acquire a majority stake in the project from Celsius Resources. This funding includes US0,000 for exploration and US0,000 for metallurgical test work, aimed at advancing project activities while awaiting regulatory approvals.
Chinalco’s Major Investment in Opuwo Project
Chinalco’s investment is part of its proposed acquisition of Celsius Resources’ 95% interest in the Opuwo Cobalt-Copper Project. The funding is crucial for advancing exploration activities and supporting the renewal of the project’s Exclusive Prospecting Licence (EPL). The results from the exploration and metallurgical tests will be shared with Celsius Resources.
The Opuwo Project is located in Namibia’s Kunene Region and is recognized as an advanced cobalt-copper exploration and development initiative. Chinalco’s commitment underscores its strategic interest in expanding its base metals portfolio.
Namibia: Key figures on Opuwo Cobalt-Copper Project
- N.5 million (US million) commitment
- US0,000 (about N.4 million) for exploration activities
- US0,000 (about N.1 million) for metallurgical test work
- US million (approximately N7.5 million) for Celsius Resources’ 95% stake
Regulatory Approvals and Future Steps
The transaction is contingent upon several conditions, including approval from Celsius shareholders and the renewal of the project’s EPL and Environmental Clearance Certificate (ECC). Additionally, it requires approval from the Namibian Competition Commission and exchange control approval from the Bank of Namibia.
Celsius Resources aims to use the proceeds from this divestment to focus on its copper-gold portfolio in the Philippines and advance its remaining projects.
Next Steps for Chinalco and Celsius
- Approval from Celsius shareholders
- Renewal of the Exclusive Prospecting Licence
- Approval from the Namibian Competition Commission
- Exchange control approval from the Bank of Namibia
- Regulatory approvals in China
Chinalco’s investment marks a significant step forward for Namibia’s mining sector.
