Rome Resources Ventures into DRC’s Tin Assets Through London Partnership
Rome Resources, a company actively engaged in tin exploration in the Democratic Republic of Congo (DRC), has unveiled its plans to acquire interests in promising tin assets located in North Kivu.
This move is anticipated to significantly impact the African tin production landscape, with the arrival of a London-listed company potentially drawing increased investments into the sector.
On November 30, Rome Resources made public the signing of a non-binding memorandum of understanding with Pathfinder Minerals, a British company listed on the AIM market of the London Stock Exchange.
The memorandum outlines Pathfinder’s intention to engage exclusively with Rome Resources until April 15, 2024, aiming to finalize an agreement for the acquisition of Rome Resources.
Pathfinder Minerals, despite not currently holding any mining assets, is offering £15,940,891 ($20.15 million) to acquire Rome Resources.
This sum will be paid entirely by issuing new ordinary shares of Pathfinder to Rome’s shareholders. The completion of this transaction is contingent upon customary regulatory approvals, including those from the TSX-V stock exchanges in Canada and AIM in London, UK.
Georg Schnura, a non-executive director of Rome, emphasizes that this move will grant Rome Resources access to the substantial cash reserves of the UK and tap into London’s international investor base, which possesses extensive knowledge in African natural resources.
Furthermore, Pathfinder has agreed, as part of the memorandum, to provide a loan of up to 2,500,000 Canadian dollars ($1.84 million) to Rome Resources for its operational capital.
Rome Resources, with existing agreements to acquire direct and indirect interests in projects situated in the North Kivu province of the DRC, eyes the potential of promising tin assets.
Tin, a crucial metal used in electronic component soldering and battery manufacturing, holds significant industrial value.
Notably, the International Tin Association, as cited by the Ecofin Agency, highlights China, Indonesia, Malaysia, and Burma as major global tin producers. In Africa, alongside the DRC, Namibia and Rwanda also contribute to tin production.
