Corcel, the London-listed upstream oil-and-gas development company, announced that Integrated Battery Metals has proposed to acquire its 41% interest in the Mambare nickel and cobalt project in Angola for up to $4.1 million.
Under the terms of the deal, Integrated Battery Metals has conditionally agreed to pay $1.6 million upon completion of the sale and purchase of Corcel’s stake in Oro Nickel Vanuatu, the project’s holding company. Additionally, a further $1.4 million will be payable in either cash or through the issuance of 1.5 million shares upon completion.
Furthermore, Corcel shared that 24 months after the completion of the transaction, an additional payment of $1 million, also in cash or shares, will be made.
To ensure the company’s smooth operations in Angola in the near term, Integrated Battery Metals will also provide a $1.6 million interest-free loan.
The completion of this disposal is subject to shareholder approval and the non-exercise of the pre-emption right by Corcel’s partner on the Mambare project, Battery Metals Australasia. Corcel recommends that all shareholders support this transaction.
“This proposed revised transaction offers a new and improved exit strategy for the Mambare asset, with a significantly higher valuation than the original deal. It also allows for ongoing exposure to the underlying nickel asset in the form of a potential interest in IBM,” stated Corcel.