Leviathan Metals buys Kalahari copper belt licence

Executive Summary

• Leviathan Metals Corp. has entered into a purchase agreement to acquire a 100% interest in a prospecting licence in Botswana, located on the Kalahari Copper Belt (KCB) in close proximity to its 100%-owned Central project.
• The acquisition expands the Central project's total area to 590 square kilometres (from 320 sq km) and adds over 10 kilometres of interpreted D'Kar-Ngwako Pan formation contact, a key geological target for copper mineralization.
• The transaction involves cash payments, equity issuance, and a net smelter royalty, with closing contingent on regulatory approvals and TSX Venture Exchange approval.

Key Details

• Target Asset: A prospecting licence situated on the Kalahari Copper Belt, Botswana, in close proximity to Leviathan’s Central project and MMG’s Khoemacau deposits.
• Land Expansion: The licence covers 270 square kilometres, expanding the Central project portfolio to a total of 590 square kilometres (exclusive of other KCB holdings).
• Geological Significance: The acquisition adds over 10 kilometres of interpreted D'Kar-Ngwako Pan formation contact to the Central portfolio, enhancing prospective target structure and stratigraphy. The Central project now boasts over 30 kilometres of this contact, primarily around the Hyena Hills dome.
• Consideration Structure:
  • Initial Payment: $200,000 USD in cash upon renewal and initiation of ownership transfer to Innovation Surveyors Pty. Ltd. (a wholly owned subsidiary).
  • Closing Payment: $300,000 USD in cash plus the issuance of 991,666 common shares of Leviathan Metals.
  • Royalty: A 1.0% net smelter royalty (NSR) granted to the vendor, which can be purchased and cancelled by Leviathan for $1.5 million USD.
• Closing Conditions: Approval of the transfer by relevant authorities in Botswana and approval of the TSX Venture Exchange.
• Contextual Geological Data: The adjacent MMG Khoemacau group holds measured and indicated resources of 94 million tonnes at 1.8% Cu and 22 g/t Ag, and inferred resources of 188 Mt at 1.6% Cu and 20 g/t Ag. MMG acquired these adjacent properties in 2023 for $1.9 billion USD.
• Qualified Person: Andrew Pedley (PrSciNat), a consultant for Leviathan, has approved the scientific and technical information regarding the Central and Serule uranium projects.

Notable Quotes

• None explicitly quoted in the text, though the release highlights the strategic value of the acquisition.