VVV Resources Limited: Conditional Share Purchase Agreement

24 March 2022

 

 

VVV Resources Limited

("VVV" or the "Company")

 

Conditional Share Purchase Agreement

 

VVV Resources Limited (AQSE: VVV), quoted on the AQSE Growth Market, is pleased to announce that it has signed a conditional Share Purchase Agreement with CASS FZE (a private company incorporated and registered in the United Arab Emirates), and Stella Investments Limited (a private company also incorporated and registered in the United Arab Emirates) to acquire 100% of the entire issued share capital of Anthony Vartkes Resources Limited ("AVRL"), a BVI-registered company. On completion of the Share Purchase Agreement, VVV, will hold a 100% interest in the Mitterberg Copper Project in Austria and a further 49% interest in the Shangri La polymetallic project in Western Australia. On completion of the Share Purchase Agreement, the Company will own 100% Shangri La polymetallic project.

The Share Purchase Agreement is subject to various conditions precedent being met by the vendors for completion.

 

The consideration payable will be Euro 200,000 in cash and Euro 805,000 in new VVV ordinary shares (at the placing price, to be confirmed, in a fundraise to be completed). The acquisition is subject to VVV completing a fundraise with net proceeds to the Company of not less than £1,000,000. VVV will also discharge certain liabilities on behalf of AVRL in the sum of AUD 25,000, subject to completing the Share Purchase Agreement, and Euro 20,000 which will be advanced to AVRL by VVV prior to completion of the Share Purchase Agreement by way of a loan which will be refundable if the acquisition of AVRL does not complete.

 

Commenting on the conditional Share Purchase Agreement, Mahesh Pulandaran, Executive Director of VVV Resources Limited, "the acquisition of AVRL takes our ownership in Shangri La polymetallic project to 100% and expands our portfolio with a large and exciting historic copper project in Europe to explore".

 

 

About the Mitterberg Copper Project (Austria):-

 

The Mitterberg copper project is located approximately 60 km south of Salzburg, Austria and consists of 198 exploration licences, covering an area of approximately 90 sq km.

 

Mitterberg is considered as the largest copper deposit of the Eastern Alps. Copper mining at Mitterberg started in prehistoric times. Modern mining started again around 1830 and ceased in 1977 when the mine was shut down as a consequence of low copper prices. According to estimations, more than 120,000 tonnes of copper metal have been extracted from the Mitterberg deposit in the past. In the 1970s, annual production rates of approximately 200,000 tonnes of ore with an average grade of 1.4% Cu have been reported.

 

In November 2021, 40 rock samples were collected from various tailings within the project area and sent to ALS Labs in Ireland for analysis.  10 of the samples reported grades > 1% copper with the highest grading 10.85% copper.

 

 

About the Shangri La Polymetallic Base metal Project (W. Australia)

 

The Shangri La project is a polymetallic hydrothermal quartz vein type deposit covering an area of 10 hectares, located just 10 kilometers west of Kununurra, the central town of the Northeast Kimberley region in Western Australia. 

 

Mineralisation also occurs near a major quartz-filled fault zone, the Silver Hills Fault. The mineralised veins contain galena, sphalerite, chalcopyrite, bornite and tetrahedrite where fresh and cerussite, anglesite, chrysocolla, azurite, chalcocite and covellite where oxidized.  At Shangri La there are six en echelon mineralised quartz veins in Hart Dolerite striking WNW. The veins can be traced for up to 300m. Acmex Holdings NL, Conwest Australia NL and other parties, have historically drilled and mined the deposit in two open cuts. Some 1,450m of wagon drilling was carried out and ore was reported to have been intersected to a depth of 80m. One drill hole intercepted 435 g/t gold at a depth of 25m. A non-JORC compliant resource of 34,500 tonnes was estimated at Shangri La averaging 7.6% lead, 301.69 g/t silver and 5.59 g/t gold distributed in three ore shoots.

 

The Directors of the Company accept responsibility for the contents of this announcement.

 

 

For further information please contact:

 

The Company Lester Kemp	+44 (0) 78 1002 0471
AQSE Growth Market Corporate Adviser: Peterhouse Capital Limited Guy Miller/Mark Anwyl	+44 (0) 20 7469 0936