Acquisition will transform IMC Exploration into a mining exploration cum mining company
Ireland-based IMC Exploration Group has signed an agreement to acquire the Karaberd mine in Armenia from Czech mining company Mineral Ventures Invest.
In this connection, the Irish firm will acquire MVI Ireland, the owner of Assat, which holds the operating licence of the gold mine involved in the deal. Assat also has a licence for the ore-crushing production facility near the mine.
IMC Exploration’s directors determined that the acquisition of the mine and the development of the Karaberd ore-crushing facility will serve the company’s existing strategic direction. Besides, the deal will help in growing the geographic scope of the company’s operations.
Furthermore, it will transform IMC Exploration from being a purely junior mining exploration company to a mining exploration cum mining company.
IMC Exploration chairman Eamon O’Brien said: “The proposed Acquisition will transform IMC by adding a mining project and will generate cash-flow for IMC from both the monthly contribution to working capital and future mining operations.
“Furthermore, the geographical reach of IMC will be extended outside of Ireland which may lead to further opportunities for growth of IMC.”
The deal is a reverse takeover, which will be subject to the approval of IMC Exploration’s shareholders, and other conditions.
Located in the Lori Marz province, the Karaberd mine includes a permitted exploitation area of 3.96ha, which is valid until 2024.
Assat was granted an operating license by the Armenian Ministry of Territorial Management and Infrastructures for a period of 11 years in 2013.
The Karaberd open pit mine is estimated to contain 211kg of gold and 367kg of silver, while its underground reserves are projected to be 1,233kg of gold and 2,216kg of silver, reported Hetq.