Shuka Minerals Secures 90-Day Extension for Kabwe Mine Acquisition
Why we think this is good
The RNS provides an update on Shuka Minerals' proposed acquisition of the Kabwe Zinc Mine, which is considered a transformational deal for the company. While the acquisition has been delayed by 90 days due to an outstanding regulatory approval, the company is actively working to secure the necessary funding and appears to be making progress. However, the lack of detailed information about the current state of the Kabwe Mine raises some concerns about the true potential and risks of the asset.
Key Points
- Shuka Minerals has received all but one of the required regulatory approvals in Zambia for the Kabwe Mine acquisition
- The outstanding CCPC approval is expected in Q2 2025, leading to a 90-day extension of the acquisition completion date
- Shuka is progressing discussions with major shareholders, advisers, brokers and potential debt funders to secure funding for the acquisition and initial exploration at the Kabwe Mine
Summary
Shuka Minerals Plc, the African-focused mining and exploration company, has provided an update on its proposed acquisition of the Zambian mining and exploration company, Leopard Exploration and Mining Limited (LEM) and the Kabwe Zinc Mine. The company has received all but one of the required regulatory approvals in Zambia, with the outstanding approval from the Competition and Consumer Protection Commission (CCPC) expected in Q2 2025. As a result, the completion date of the acquisition has been extended by 90 days to 11 June 2025. Shuka is actively working with its major shareholders, advisers, brokers and potential debt funders to secure the necessary funding for the acquisition and initial exploration at the Kabwe Mine, which is considered a transformational deal for the company.