- Indigo Exploration (TSXV:IXI) has acquired the Djimbala gold property in Mali, West Africa, from Desert Gold Ventures
- Indigo signed a four-year deal to acquire a majority percentage of the property, for C$50,000 worth of shares
- Furthermore, Indigo must spend C$400,000 on the exploration in the first two years, and $600,000 by April 30, 2024
- The company is also consolidating its existing shares at a six-to-one ratio, to improve its financial flexibility and market reputation
- Indigo Exploration (IXI) is holding steady, with shares trading for 1 cents and a $1 million market cap
Indigo Exploration (TSXV:IXI) has acquired the Djimbala gold property in southern Mali, West Africa.
The company has signed a four-year deal with Desert Gold Ventures, to acquire between 51 and 100 per cent of the property. Indigo will do so for an initial payment of C$50,000 worth of Indigo shares.
The deal is also subject to a number of exploration spending agreements. The company must spent $400,000 on the project in the first two years, and $600,000 by April 30, 2024.
The site is located east of Hummingbird Resources’ Komana gold mine, which has an estimated gold reserve of 700,000 ounces.
Indigo’s CEO, Paul Cowley, believes that the new project pairs well with the company’s two previous acquisitions in Burkina Faso.
“The Djimbala acquisition will complement our existing gold portfolio and maintain our West African focus.
“We are very much looking forward to reactivating our exploration efforts in Burkina Faso and Mali once financed. A work plan and budget are being developed for 2020 with exploration aimed to start by summer,” he said.
Paul went on to outline the company’s upcoming refinancing agreements, which will fund the planned summer exploration work.
To this end, the company announced a non-brokered private placement of 10 million units, at 5 cents each, for up to $500,000.
Prior to this placement, the company plans to consolidate its existing shares at a six-to-one ratio. Indigo’s board hopes that this move will improve the company’s financial flexibility, as well as its market reputation.
Indigo Exploration (IXI) is holding steady, with shares trading for 1 cent at 2:07am EST.
