PERTH (miningweekly.com) – Junior explorer Middle Island Resources has started acquisition negotiations on two possible gold assets, the company reported on Friday.
The company said that it was actively reviewing project acquisition opportunities in West Africa and Australia, and had, to date, reviewed "hundreds" of projects in both jurisdictions.
Middle Island noted that while West Africa remained the most prospective jurisdiction for new gold discoveries, the declining Australian dollar and a diversification of political and sovereign risk made Australia an increasingly attractive investment destination.
The ASX-listed company has been forced to close its office in Niger, making its remaining staff in the country redundant, as no positive change in the status of the Deba and Tialkam permits were forthcoming from the Mines Ministry, in relation to an appeal process or the granting of replacement permits.
The company’s exploration headquarters in Burkina Faso have also been relocated to a smaller premises, and with the exception of two part-time personnel, all staff in Burkina Faso have also been made redundant.
The explorer said that several companies were continuing to review technical data on the Reo gold project, in Burkina Faso, with a view to a possible farm-in. However, to date, no meaningful offers have been received for a partial divestment of the project.
Middle Island told shareholders that the company was now reviewing plans to restart field activities, on a limited basis, at the K5 prospect, within the Reo project.