PERTH (miningweekly.com) – The share price of ASX-listed Orbis Gold climbed by nearly 16% on Friday, on news that the company had been approached for both corporate and asset-level transactions.
Orbis on Friday informed shareholders that it had appointed advisory firm Merrill Lynch to act as defence adviser in these negotiations.
In the meantime, the company said that it would focus on advancing its flagship Natougou gold project, in Burkina Faso, which has a resource of about 18-million tonnes, grading at 3.4 g/t gold for two-million ounces of contained gold.
Previously completed scoping studies have indicated that the project could support the production of up to 213 000 oz/y over an initial six-year mine life. A definitive feasibility study (DFS) for the project would be completed by mid-2015.
At the end of September, Orbis entered into a subscription agreement with Greenstone Resources to raise about $20-million to fund the completion of the DFS for Natougou and to secure the necessary project permitting.
The funds were also used to advance the Nabanga gold project, also in Burkina Faso, to the completion of a scoping study, and to continue further exploration activities at priority targets in Burkina Faso and Cote d’Ivoire.
Orbis shares were trading at a high of 42c a share on Friday, up from a low of 36c a share.