Deal with Marvel Gold gives explorer Oklo Resources ‘ongoing exposure to future discoveries’
Link copied to
Special Report: Oklo Resources (ASX:OKU) has successfully divested an 80 per cent interest in its non-core south Mali gold projects, allowing it to focus on the exciting Dandoko discovery in 2021.
Under the deal, Oklo will receive $200,000 cash and 20m Marvel shares (upon confirmation of renewal of licences), with an additional 20m shares issued subject to Marvel achieving certain milestones.
The deal gives Oklo exposure to any future exploration success in the south Mali projects by retaining a 20 per cent ‘free carried interest’ to a decision to mine and becoming a shareholding in Marvel Gold (ASX:MVL).
‘Free carried’ means Oklo is not liable for any exploration or predevelopment costs should Marvel find something significant.
It’s all upside.
“We are pleased to have completed the transaction with Marvel for our south Mali projects, which provides our shareholders with ongoing exposure to future discoveries through both our 20 per cent free carried interest and a shareholding in Marvel,” Oklo managing director Simon Taylor says.
“Oklo’s projects in south Mali are complementary to Marvel’s, with the Sirakourou licence being located adjacent to the advanced Tabakorole project.
“We look forward to Marvel commencing their initial work program on the projects in the New Year.
“The deal allows the company to focus all our efforts and cash reserves on our core activities at Dandoko where resource definition drilling continues at our exciting Seko discovery.”
Oklo Resources’ flagship greenfields gold discovery at Seko is within 30km of major gold operations like B2 Gold’s 7.1 million-ounce Fekola mine and Barrick Gold’s 18 million-ounce Loulo-Gounkoto mining complex.
Drilling results so far are phenomenal: highlights include 62m at 5.26g/t gold and 55m at 7.65g/t gold.
This article was developed in collaboration with Oklo Resources, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.