PERTH (miningweekly.com) – Diversified hopeful Lemur Resources has signed a binding term sheet with JSE-listed explorer Sable Metals and Minerals to acquire stakes in three vanadium projects, in South Africa.

Sable holds a 65%, 74% and 51% respective interest in three greenfield vanadium properties in South Africa's North West province, in close proximity to the Vametco operations owned by the Evraz group.

Lemur would acquire Sable’s interests in the three tenements for $600 000, as well as a 1.75% royalty on the gross sales of product yielded from the combined project area, payable quarterly in arrears, and subject to a certain minimum and maximum per tonne of product sold.

Lemur previously entered into a loan agreement with Sable, under which it provided A$213 000 for immediate working capital. Pursuant to an addendum, a further A$164 000 was paid to Sable this month.

The loan would be offset against the purchase price and the balance of the purchase price would be paid in three tranches.

The transaction was subject to a number of conditions, including legal and financial due diligence, as well as Ministerial approval for the transfer of the tenements.

Lemur, in March, signed a binding agreement to acquire a 99.1% stake in Zaaiplaats Mining, which owns the Zaaiplaats tin mining project, from the Brent Trust for R2.5-million or A$276 000.

The Zaaiplaats project, which covers two properties in Limpopo, was previously the site of the second-largest tin mining operation in South Africa. More than 100 000 t of tin were produced from hard-rock mining at the deposit from 1906 to 1989.

CORPORATE ACTIVITY

London-listed and South Africa-focused Bushveld Minerals has successfully acquired a majority stake in Lemur and, in July, declared its off-market takeover offer for Lemur unconditional. The deal, which saw Bushveld offer 6c a share for every Lemur share, valued the company at A$10.87-million.

Bushveld, which currently holds a 93.78% interest in Lemur, would delist Lemur from the ASX at the conclusion of its takeover offer.