Australian resources and investment company, Cape Lambert Iron Ore has issued a A$2.4 million Convertible Note to Africa Uranium Limited. Uranium play interests Cape Lambert
The Note came via Cape Lambert’s 100 per cent owned subsidiary Dempsey Resources, to the unlisted African uranium explorer. Africa Uranium has projects in Namibia and South Africa, with its flagship project being the Hoasib project located in Namibia. The Hoasib project area is covered by mineral lease EPL 3664, owned by Green Minerals Resources, which is a joint venture between the Bastos Foundation (30 per cent) and Africa Uranium (70 per cent). “Preliminary exploration by Africa Uranium has shown the Hoasib project has the potential to host a large tonnage - low grade uranium deposit of the calcrete hosted Trekkopje mineralisation style owned by Areva in Namibia,” said Cape Lambert executive chairman, Tony Sage. Operating uranium mines close to the Hoasib project include Langer Heinrich (Paladin) and Rossing (Rio Tinto). Projects currently being evaluated in the region include Trekkopje (Areva), Goanikontes (Bannerman Resources), Rossing South (Extract Resources) and Valencia (Forsys Metals). In South Africa, Africa Uranium has four applications for mineral leases in the Karoo Basin. It is a well known, prospective region for sandstone hosted uranium-molybdenum mineralisation. Previous exploration for uranium in the 1960’s to early 1980’s identified numerous mineral occurrences and resources. “To have gained a low risk exposure to these exciting projects, within such well known and defined uranium provinces, is a coup for Cape Lambert and its shareholders,” Sage added. The full amount of the note can be converted into 10 per cent of Africa Uranium’s share capital at any time prior to the repayment date. Since November 2008 and not including this Africa Uranium note, Dempsey has issued A$41.6 million worth of Convertible Notes to six companies; Continental Capital, Cauldron Energy, Pinnacle, DMC Mining, Latin Resources and Victory West Moly. To date, Dempsey has converted two of the Convertible Notes, in Cauldron Energy and DMC Mining, giving it stakes of 18.7 per cent and 36.3 per cent respectively.
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