Sub-Sahara says to raise stake in Eritrean gold project --------------------------------------------------------------------------------
The board of Africa-focused gold exploration and development company Sub-Sahara Resources approved the acquisition of a further interest in the Zara gold project, from Africa Wide Resources (AWR), the company said on Friday.
The company will acquire an additional 22,23% interest in the project, taking its equity in the project to 56,22% In Eritrea, Sub-Sahara Resources has two joint ventures - the Asmara project and the Zara project – while, in Tanzania, the company has three joint-venture projects.
The Asmara project is a joint venture between Sub-Sahara, AWR and Sunridge Gold Corporation.
Earlier this year, Mining Weekly reported that the company had planned to increase its equity in the Zara project, following the success of the initial drilling.
The company indicated that it would increase its current equity in the project from 33,33% to 66,66% by acquiring the 33,33% project interest of AWR, resulting in the firm having the right to earn up to an 80% interest in the project.
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