BHP has invested in Cobre’s Kitlanya projects in Botswana, committing up to USD $25 million for exploration of copper-silver deposits. The investment includes a minimum of USD $5 million over two years, and exploration activities are scheduled to start in April 2025. BHP may earn a 75% interest in these projects as part of the agreement.
BHP Group Limited has acquired a stake in Cobre’s Kitlanya projects located in Botswana, offering up to USD $25 million in funding specifically for the exploration of copper-silver deposits. This investment will initially provide a minimum of USD $5 million over the next two years, with an overall exploration budget of USD $7 million starting in April 2025.
The focus of BHP’s investment is on Cobre’s East and West Kitlanya copper projects, situated at the margins of the Kalahari Copper Belt. The exploration efforts will include deep diamond drilling and 2D seismic surveys to evaluate the mineral system for potential Tier 1 copper deposits, following Cobre’s involvement in BHP’s 2024 Xplor programme. Drilling is scheduled to commence in April.
BHP has the opportunity to earn a 75% interest in the Kitlanya projects by committing to a total investment of $25 million, which includes the initial investment of $5 million. During the earn-in phase, Cobre Botswana will act as the operator and will receive a minimum annual management fee of USD $250,000.
In summary, BHP’s significant investment in Cobre’s Kitlanya projects marks a strategic move in exploring copper-silver deposits in Botswana. With planned exploration and drilling set to commence soon, this partnership aims to identify high-quality mineral deposits while Cobre continues to operate the projects during the investment phase.
Original Source: www.sharecast.com
