UK-based miner Cradle Arc (Alecto Energy) has taken over 100% ownership of the Kossanto West gold project in Western Mali with Randgold Resources (Mali) Sarl agreeing to quit the joint venture (JV).
The two companies had entered into a joint venture agreement for the gold mining project in February 2016.
The Kossanto West gold project comprises the Kobokoto Est and Koussikoto exploration licenses, which will now be fully owned by Cradle Arc with the termination of the joint venture.
According to Cradle Arc, the 137km2 mining project is located over a substantial area of the Main Transcurrent Shear Zone, which is thought to be one of the main controls on gold mineralization in western Mali and eastern Senegal.
Randgold Resources held a stake of 35% stake in the gold mining project while Cradle Arc owned the remaining 65% stake in the terminated joint venture.
Cradle Arc said that its board is of the opinion that the Kossanto West is highly prospective asset with considerable amount of corporate activity taking place in recent times in the immediate vicinity. Included in these is the acquisition of the Kossanto East gold project in August 2017 by Ashanti Gold, the company’s ex-joint venture partner.
Cradle Arc said that is now looking for a new partner in the Kossanto West gold project for the continued exploration and advancing of the two licenses.
Cradle Arc CEO Kevin van Wouw said: “Randgold have been an excellent JV partner to Cradle Arc over the past two years and their grassroots regional exploration campaigns have added significantly to our understanding of Kossanto West.
“As a result of the work performed to date, both by Randgold and Cradle Arc, we continue to believe in the prospectivity of Kossanto West and are confident that the extensive gold mineralisation that is present at multiple targets across this expansive 127 km2 exploration project can be further proven up.”
Last month, Cradle Arc had entered into an option agreement with Singa Holdings Zambia under which a joint venture can be established and/or an option to acquire the entire issued share capital of Luiri Gold Mines, which owns the Matala and Dunrobin gold assets in Zambia. Luiri Gold Mines is a wholly owned subsidiary of Cradle Arc.