Aim-listed Katoro Gold and Power Metal Resources (POW) have agreed to extend the deadline for an investment and option agreement over the Haneti polymetallic project, in Tanzania, to May 31.
On March 15, Katoro announced that it had entered into an investment and option agreement for joint venture (JV) partner POW to potentially acquire up to a 35% interest in the project.
After due diligence, POW duly acquired a 25% interest in the project and held an option to acquire a further 10% through a payment to Katoro of £25 000 by May 15.
In recent months, Katoro has received approaches with a view to earn-in, JV or similar, in respect of the project, with a primary focus on the nickel sulphide potential.
Reflecting this, Katoro and POW have agreed to extend the deadline to allow time to finalise restructuring discussions in respect of Haneti’s project ownership.
“Katoro have been pleased with the level of interest shown by third parties in Haneti, and with our joint venture partners we are looking to structure the ownership of the project in a manner that maximises the potential for positive commercial developments.
“This is complex work and POW and Katoro have agreed to a short extension to enable us to complete this, with a view to making a fuller announcement to the market in the near term,” says Katoro chairperson Louis Coetzee.