AngloGold Ashanti Holdings, a subsidiary of AngloGold Ashanti, has entered into a farm-in agreement with EcoGraf for gold exploration at the Golden Eagle gold project in Tanzania.
The $US9 million ($13.5 million) agreement spans five years and will give AngloGold the right to earn 70 per cent of the project by spending $US8.9 million ($13.4 million) over the five years. EcoGraf will retain the remaining 30 per cent.
“The Golden Eagle farm-in agreement with AngloGold Ashanti, the fourth largest gold miner in the world, demonstrates the strong technical quality of the Innogy assets and is a further vote of confidence in the mining industry of Tanzania,” EcoGraf managing director Andrew Spinks said.
“We look forward to AngloGold’s expertise in gold exploration being applied to Golden Eagle, as it hunts for another Tier-1 gold deposit to complement its existing Geita operation in Tanzania.”
AngloGold has been performing detailed technical and corporate due diligence on the project since May 2023. The area is characterised by favourable Archean greenstone belts and gold in the area is predominately hosted within veined shear zones.
“This agreement is a great result from our technical team, providing a pathway to realise value for our shareholders from EcoGraf’s non-core mineral assets,” Spinks said.
“It provides upside exposure to the rising gold prices for our shareholders, while the company focuses on the development of its battery anode materials business for the lithium-ion battery market.”
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