African Battery Metals Plc’s (LON:ABM) noted that Katoro Gold PLC(LON:KAT) has revealed a positive exploration update from the Haneti nickel project, which is 25% owned by ABM.
The AIM-listed firm pointed out that Katoro Gold sees Haneti as a “highly prospective high-grade” project and it has a number of high priority exploration targets, with soil sampling having been undertaken and some 1,500 samples sent for analysis at an independent laboratory.
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It added that results have confirmed and extended the strike length of the previously identified targets, and has also identified an otherwise unknown target. Katoro said that it will use the findings to inform further exploration work, which will include a maiden drill programme.
Paul Johnson, ABM’s executive director, commented: "I am delighted to be working with the team at Katoro and congratulate them on an exceptionally good start to the 2019 exploration programme at Haneti.
“In particular it is notable that the work undertaken has reconfirmed and extended high-profile target areas and also identified a further previously unknown ultramafic target. This triple positive outcome is exciting for ABM as Joint Venture partners with Katoro at Haneti and also for ABM as significant shareholders in Katoro Gold plc itself."
ABM acquired 25% of Katoro's nickel project in March this year and has the option to increase that stake to 35% with a £25,000 investment up to May 2020. It holds shares and options in Katoro Gold PLC equivalent to around a 6% holding.