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Kavango eyes bigger footprint in Botswana

London-listed junior Kavango Resources is poised to expand its position in Botswana, having optioned a nickel, copper and platinum project in the Kalahari.
Kavango eyes bigger footprint in Botswana Kavango eyes bigger footprint in Botswana Kavango eyes bigger footprint in Botswana Kavango eyes bigger footprint in Botswana Kavango eyes bigger footprint in Botswana

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Kavango has taken an option to take a controlling stake in Kalahari Key Mineral Exploration, which owns the Molopo Farms Project (MFP) in Botswana. The option has no fee, but Kavango has undertaken to complete a works programme at the project.

Kavango will make a decision on exercising the option after completing the works programme.

If the option is exercised, Kavango will hold around 51% of the project, for a consideration of up to £1.9 million, with 40% held by Power Metal Resources.  

Kavango and Power Metals already work together on the Kanye Botswana joint venture.

"Our vision is to build a world-class minerals exploration firm in Botswana," Ben Turney, Kavango Resources CEO, said:

Our business model is based on making multiple, large-scale metal discoveries, which we can sell to major international mining firms.

Kavango also announced the acceleration of its acquisition of a 90% stake in the LVR joint venture, also in Botswana.

Kavango had a 25% stake in LVR as of June 2. Its right to grow its interest up to 90% was originally agreed to take place over seven years.

After positive results from recent exploration, Kavango announced that it would immediately acquire the 90% stake, for shares and warrants.

Kavango shares were down 3.5%, at 5.50p, 10.00 London time.