TAWANA RESOURCES NL - Farm-in agreement finalisedRelease Date: 24/02/2017 09:52:00 Code(s): TAW
Tawana Resources NL
(Incorporated in Australia)
(Registration number ACN 085 166 721)
Share code on the JSE Limited: TAW
JSE ISIN: AU0000TAWDA9
Share code on the Australian Securities Exchange Limited: TAW
ASX ISIN: AU000000TAW7
(?the Company? or ?Tawana?)
Farm-In agreement finalised
Tawana Resources NL (?Tawana? or the ?Company?) is pleased to advise that Lithco No. 2 Pty
Ltd, a 100% owned subsidiary of Tawana and Singapore Exchange Listed Alliance Mineral Assets
Limited (AMA) (collectively, the ?Parties?) have on 23 February 2017 finalised the farm-in
agreement (?Farm-in Agreement?) with respect to the Bald Hill Lithium and Tantalum Project
(?Project?) in Western Australia for the purpose of joint exploration and exploitation of lithium
and other minerals.
The Farm-in Agreement is in line with the Binding Terms Sheet which requires Tawana:
1. to spend, by 31 December 2017 (or such later date as may be agreed between the
parties), a minimum of $7.5 million on exploration, evaluation and feasibility (including
administrative and other overhead costs in relation thereto) (?Expenditure
2. to spend, by 31 December 2019 (which is a new commitment by Tawana from the Binding
Term Sheet), $12.5 million in capital expenditure required for upgrading and converting
the plant for processing ore derived from the Project, infrastructure costs, pre-stripping
activities and other expenditures including operating costs (?Capital Expenditure?).
Upon completion of the Expenditure Commitment, Tawana shall be entitled to 50% of all rights
to lithium minerals from the tenements comprising the Project (?Tenements?).
Upon completion of the Expenditure Commitment and Capital Expenditure, Tawana will be
entitled to a 50% interest in the Project (being all minerals from the tenements and the
processing plant and infrastructure at Bald Hill).
Managing Director Mark Calderwood stated: ?We continue to work very closely with our Joint
Venture Partners, Alliance Mineral Assets, as we continue to work together to become a
spodumene producer in 2017.?
About Tawana (ASX & JSE: TAW)
Tawana Resources NL, is focussed on becoming a spodumene producer in 2017 with its high-
quality lithium projects in Western Australia and Namibia.
Tawana?s principal projects are the Bald Hill Lithium and Tantalum Mine (earning a 50%
interest) and the surrounding and adjacent Cowan Lithium Project. The projects have
numerous high quality spodumene-rich pegmatites, some of which have been historically
mined and processed for tantalum at the existing Bald Hill processing facility.
The Company also owns rights to the giant Uis pegmatite tailings stockpile in Namibia,
estimated to be 20 million tonnes. Drilling has been completed confirming the presence of
lithium. Metallurgical test work to confirm acceptable recoverable grades has commenced
and if favourable, there is potential for a low capex/opex operation.
The Company also owns the Mofe Creek Iron Ore Project in coastal Liberia. The deposits are
characterised by exceptionally coarse grained, high-grade free-dig, itabirite that have the
potential to deliver a premium, low cost product. The Company is completing a Mineral
Development Agreement (?MDA?) with the Government of Liberia and is considering initially
collaborating with owners of the under-utilized port of Monrovia or others with a desire to
develop a low capital cost DSO operation.
24 February 2017
PricewaterhouseCoopers Corporate Finance (Pty) Ltd
Date: 24/02/2017 09:52:00 Supplied by www.sharenet.co.za
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