News: Select Exploration shares rise on Metals of Africa holding

Select Exploration (ASX:SLT) shares have surged 40% to $0.007 in recent days as investors become aware of its significant holdings in graphite exploration company Metals of Africa (ASX:MTA).

SLT holds 5 million MTA shares, and 5 million MTA options expiring in March 2017 with a strike price of $0.093. These options are well in the money with MTA's share price now trading at $0.13.

The company gained the shares and options as consideration for its divestment to MTA of five copper-gold exploration projects in Tanzania.

MTA's shares have increased in value significantly since its entry into the prolific Mozambique graphite region last month.

MTA's acquired licenses are along strike from Syrah Resources (ASX:SYR) and Triton Minerals (ASX:TON), and its rising trend looks set to continue as MTA kicks off exploration later this month.

All this is assisted by Triton's release of massive graphite intercept after massive graphite intercept and its surging share price.

MTA has commissioned The MSA Group to undertake the initial exploration program. This is significant because MSA is the same firm that recently completed the resource estimates for Syrah’s Balama project.

SLT is capitalised at just $2 million, and holds $700,000 in cash in addition to the growing value of its graphite interests via MTA.