IFC Renews Commitment To Tete Project Development
London, Aug 28, 2013 AEST (ABN Newswire) - Baobab Resources Plc (
LON:BAO) ('Baobab' or the 'Company') is wholly focused in Mozambique where it is developing a pig iron and ferro-vanadium project in the Tete province (the 'Tete Project'), one of Africa's fastest growing mining centres. The Company is pleased to announce that its Tete joint venture ('JV') partner, IFC, a member of the World Bank Group, has committed to supporting the on-going Definitive Feasibility Study (DFS) work programme through a pro rata contribution of approximately US$1,000,000.
Commenting today, Jeremy Dowler, Baobab's Chairman said: "Baobab is very pleased to announce the continued support of our partner IFC. The JV partnership is now well into its fifth year, during which time IFC has contributed approximately US$5m and the Project has transitioned from an undrilled, greenfields concept to an advanced asset with 510Mt inferred and 217Mt indicated JORC compliant resource. The project has become one of national and regional significance with preliminary feasibility studies underlining a compelling commercial case for development."
"Looking forward, we will be working alongside IFC in the facilitation of access to port, rail and power infrastructure as well as the development of comprehensive stakeholder engagement, community development and environmental management programmes."
ABOUT IFC & THE TETE JOINT VENTURE
IFC (International Finance Corporation) creates opportunity for people to escape poverty and improve their lives. It fosters sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. IFC has a long and respected history of promoting sustainable mining in developing countries and is highly regarded as a long-term partner in mining development projects.
IFC participated in a placing in November 2008 and is currently Baobab's second largest single shareholder with an interest in the Company of 3.7%. In January 2009, IFC acquired a 15% participatory interest in the Tete pig iron and ferro-vanadium project. Under the terms of the JV, IFC has committed to on-going pro-rata contributions to the development of the Tete Project with Baobab funding the remaining portion and remaining as the project operator.
About Baobab Resources plc
Baobab Resources plc (LON:BAO) is a Mozambican-focused explorer with a large landholding in the central north of the country. The company's flagship project is the Tete iron ore deposit.
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