Tim Livesey, the chief executive of Oriole Resources PLC (AIM:ORR), spoke with Stephen Gunnion about the company's latest strategic moves in Cameroon.
This conversation comes on the heels of two significant earn-in agreements with BCM International, covering Oriole's Mbe and Bibemi gold projects.
Livesey delves into the details of these deals, the encouraging results from recent due diligence efforts, and the broader impact these partnerships have on Oriole's operations and plans in Cameroon.
As Oriole Resources continues to solidify its presence in the region, this discussion offers valuable insights into its strategy and the exciting developments in store for the company.
Stephen Gunnion (SG): Can you elaborate on the recent earn-in agreements with BCM International for your projects in Cameroon?
Tim Livesey (TL): Absolutely, we're quite excited about these developments. The agreement for the Mbe project involves a $4 million investment from BCM International for a 50% ownership stake. This comes alongside a $1 million signature bonus and additional success-based payments contingent on gold discoveries. It’s a significant step in advancing the Mbe project.
SG: Fascinating. And what about the results from the recent due diligence at Mbe?
TL: The due diligence results are quite encouraging. BCM International undertook a comprehensive sampling exercise, collecting over 600 samples. The findings confirmed the presence of significant mineralized systems, with around 60% of the samples grading above 0.2 grams of gold per tonne, and some individual samples showing exceptionally high gold content. This independent validation strengthens our confidence in the Mbe project's potential.
SG: Earlier this month, there was also a similar agreement for the Bibemi project. Could you share some insights into this deal?
TL: Yes, the Bibemi agreement mirrors the structure of the Mbe deal. BCM International will invest $4 million for a 50% stake, with a half-million-dollar signature bonus. Like Mbe, the agreement includes bonus payments based on resource increments. The Bibemi project is more advanced, with over 6,000 meters of drilling already completed, and we see significant potential for resource expansion.
SG: How crucial is the partnership with BCM for Oriole Resources, especially in the context of your operations in Cameroon?
TL: The partnership with BCM is a cornerstone for our growth in Cameroon. BCM's established presence and expertise in the African mining sector, coupled with their agility as a family-run business, enable us to move swiftly and efficiently. This collaboration is already shaping up to be strong and mutually beneficial.
SG: Does this partnership alter Oriole’s focus in Cameroon?
TL: Not really, Stephen. It strengthens our existing focus. We have 11 licenses in Cameroon, and these deals cover only two of them. So, while we progress with Mbe and Bibemi, we also continue working on our other licenses. Our six-year presence in Cameroon and strong government relationships position us well to be at the forefront of the country's emerging mining sector.
SG: Finally, what can we expect from Oriole in the coming months?
TL: We're gearing up for an active period. For Bibemi, we're mobilizing drilling operations to extend the existing resource and test other targets. At Mbe, we're planning detailed sampling, trenching, and potentially drilling. We also expect to progress our other assets in Cameroon and keep an eye on opportunities across the sector. Our partnership in Senegal with MANAGEM is also moving into a crucial phase.