Perseus Mining Ltd has increased its strategic investment in African gold on acquiring a 15.03% interest in OreCorp Ltd, an emerging mineral development company that holds the multi-million-ounce Nyanzaga Gold Project in Tanzania.
ASX-listed OreCorp’s flagship asset is the pre-development Nyanzaga Project in northwest Tanzania which hosts a probable ore reserve of 40.08 million tonnes at 2.02 g/t gold for 2.6 million ounces.
“A strategic investment”
Perseus’ executive chairman Jeff Quartermaine said: “Perseus continues to assess and, where considered commercially appropriate, deploy its reserves of cash, bullion and undrawn debt facilities totalling approximately US$900 million, to pursue opportunities that complement its existing asset portfolio and our organic growth program.
"Acquiring the 15.03% interest in OreCorp via this share acquisition is a strategic investment for Perseus. It provides an investment in an attractive African gold project located in a jurisdiction that has a long and successful history of gold mining.
"Perseus has the ability, should the opportunity arise, to deploy its engineering, development and operating expertise and balance sheet to meaningfully contribute to the successful development and operation of this project.”
Against Silvercorp scheme
In a statement, the company said: “Perseus is not currently in active discussions with OreCorp and does not intend to submit a change of control transaction in competition to the current scheme that Silvercorp Metals Inc has offered to OreCorp shareholders.
“Perseus would, however, welcome the opportunity to engage with OreCorp in order to determine an optimal and expedited pathway forward for the development of the Nyanzaga Gold Project.”
With this in mind, the company said that it intended to vote against the Silvercorp scheme at the OreCorp scheme meeting, which is scheduled for Friday, December 8, 2023.