VANCOUVER, British Columbia, May 24, 2022 (GLOBE NEWSWIRE) — Rome Resources Ltd. (the “Company”) is pleased to announce that it has reached an agreement in principle to acquire majority interests in two properties located in the Walikali district of the province of North Kivu in the east of the Democratic Republic of the Congo (“DRC”). The two adjoining properties abut the northern boundary of buildings owned by Alphamin Resources Corp. (“Alphamine”) (TSXV: AFM), and are collectively referred to as the “Bisie North Tin Project”. Alphamin’s Mpama North mine is located approximately 8 km south of the boundary of the Bisie North Tin project.
The Bisie North Tin project comprises two contiguous permits covering a total area of 38.4 km². Exploration Permit PR 13274 covers an area of 30.7 km² and is being converted into a small-scale mining permit PEPM 13274. Exploration Permit PR 15130 covers an area of 7.7 km², and its western and southern limits adjoin PR 13274..
Research permit 13274
The Company has undertaken to acquire from Medidoc FZE (“Medoc”) all issued and outstanding shares of Medidoc – RD Congo SARLU (« Medidoc Congo ») for C$2,000,000, to be paid by issuing 40,000,000 shares of the Company at a deemed price of C$0.05 per share. At closing, the Company agreed to settle a debt of CA$1,278,229 owed to Medidoc by Medidoc Congo through the issuance of an additional 25,564,580 shares of the Company at a deemed price of CA$0.05 per share. The total consideration amounts to 65,564,229 shares.
Medidoc Congo holds a 72.5% interest in the PR 13274 Research Permit (converted to PEPM 13274). The remaining 27.5% stake is held by Investissement et de Développement Immobilier SARL (“IDI”). Medidoc Congo and IDI operate the permit under a joint venture agreement. Medidoc Congo is the operator of the joint venture.
Under the agreement, the Company has agreed to fund, up to a maximum of C$250,000, the ongoing costs associated with the maintenance of the license until closing. These advances will be treated as a loan to Medidoc Congo.
Medidoc advises that exploration to date on PR 13274 by Medidoc Congo includes a program of soil sampling and geological mapping with channel samples taken through mineralized structures currently mined by artisanal miners. Soil samples were taken from lines spaced 400 m apart throughout PR 13274 and fill samples were taken from lines spaced 200 m apart over anomalous areas. Assay results revealed a large continuous tin-in-ground anomaly with credits of gold, copper and zinc over a strike length of 4 kilometres. Channel sample results would have returned tin values down to 1 m at 11% Sn. The Company has not verified these results and is conducting its independent due diligence and verification investigations.
Research permit PR 15130
The Company has agreed to acquire from CoTinCo Minerals Projects International LLC (“CTC”) a 65% interest in PR 15130 for C$1,000,000, to be paid for by issuing 20,000,000 shares of the Company at a deemed price of C$0.05 per share. CTC currently holds a 70% stake in PR 15130, with the remaining 30% held by Palm Constellation SARL (“Palm”). CTC and Palm operate PR 15130 under a joint venture agreement. CTC is the operator of the joint venture.
Under the agreement with CTC, the Company has agreed to fund, up to a maximum of C$250,000, the ongoing costs associated with operating the joint venture until closing. These advances will be treated as a joint venture loan.
PR 15130 adjoins the northern and eastern limit of PR 13274. To the Company’s knowledge, no significant exploration work has been carried out on the property.
The Company is currently conducting technical and legal due diligence on the Bisie North Tin project and expects to sign a definitive agreement for each of the properties in the near future.
The closing of both transactions is subject to all required shareholder and securities regulatory approvals and the satisfaction or waiver of conditions precedent typically present in transactions of this size and nature. The Company anticipates simultaneous closings for both transactions. Closing will result in the Company ceasing to be eligible for listing on NEX and the Company will apply for listing on the TSX Venture Exchange.
The scientific and technical information contained in this press release has been reviewed and approved by Mr. Stephen Alan Mawson. Mr. Mawson is a freelance contract geologist, graduated in Geology from Rhodes University, South Africa (B.Sc. 1973) (M.Sc. 1983) and is a Registered Professional Naturalist (Geological Sciences) with the South African Council for Natural Scientific Professions (SACNASP Reg. No. 400074/03) and member of the Geological Society of South Africa. Mr. Mawson is a Qualified Person (QP) under NI 43-101.
For more information, please contact:
Dr Georg Schnura
President, CEO and Director
Telephone: (604) 687-6140
E-mail: [email protected].com
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