Caerus Mineral Resources plc has turned down a battery metals option in Saudi Arabia in favour of an 80% acquisition of a local exploration company in Morocco.
JURSIDICTION
At today’s general meeting, executive chairman Chris Lambert said that shareholder EV Metals Group’s subsidiary in Saudi Arabia would have drained Caerus’ resources due to the early stage of the projects and the very large portfolio.
The company has during H1 2023 instead built “several new and exciting relationships with owners of high-quality upstream and midstream assets” with discussions on partnership and investment “ongoing”.
“In recent weeks, CMR [Caerus] has decided to enter Morocco, which stands out as an extremely attractive jurisdiction for upstream and potentially midstream battery materials projects.
“With deposits of copper, manganese, cobalt and potentially other clean technology metals and minerals, Morocco has proven well-mineralised geology yet is largely under-explored.
“Morocco’s main trading partner is the European Union, and its modern infrastructure, proximity to Europe and political stability make it an excellent country for CMR to operate in.”
Caerus paid a “modest sum” for the acquisition which is led by a highly regarded geologist with extensive knowledge of the region.
The company also aims to enter “strategic upstream joint ventures” and create its own portfolio of 100% owned projects.
PROGRESS
Caerus added it expected to be re-admitted to trading by mid-July following publication its 2022 annual report and accounts.
Shares were suspended due a delay in publishing the annual report following its restructuring and reorganisation last year which included an investigation into the previous management.
“2022 was a year of turmoil, though significant progress was made to stabilise the company and ensure governance failings are not repeated,” added Mr Lambert.
“The board and I would like to thank the FCA for assisting us in steering our way through a very difficult path for the company. I am pleased to report all these issues are behind us now.
“The company is now focused on developing excellent opportunities aligned with its clear strategy. Importantly, we are making meaningful progress.”
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