Osino Resources Corp. has entered into an agreement to acquire the Ondundu gold exploration property in Namibia from B2Gold Corp.
Under the terms of the acquisition agreement, Osino agreed to purchase all of the issued and outstanding shares of the Namibian company, Razorback Gold Mining Co. Ltd – which owns 100% of the Namibian exclusive prospecting license 3195 covering 19 969 ha. located approximately 130 km northwest of Osino’s Twin Hills Gold Project in Namibia – together with all technical information and other books and records in respect thereof for an aggregate purchase price of US$15.2 million, including a combination of cash, deferred cash, and shares.
The acquisition agreement is subject to Namibian regulatory approvals and certain other customary closing conditions.
Heye Daun, Osino’s President & CEO, comments:
“We believe this is a highly accretive transaction for Osino which provides significant additional scale, diversification and consolidation of Osino’s Namibian projects. We plan to build on the excellent exploration and resource development work which B2Gold completed over the last six years and to quickly advance the project to compliant resource stage. Based on the Project’s historical exploration and analysis, we believe the Ondundu Gold Project has the type of mineralisation with potential to host a significant open-pit gold resource possibly in the order of more than 1 million oz of contained gold with the possibility for co-development with Osino’s Twin Hills Gold Project. The consideration payable is partially deferred and upon close will result in B2Gold becoming a strategic shareholder of Osino. We are very pleased that B2Gold has agreed to the part-equity structure of the transaction and appreciate B2Gold’s implicit vote of confidence in Osino’s ability to take Ondundu to the next level.”