UK Mining Firm CMR Secures Promising Silver and Copper Project in Morocco

Critical Mineral Resources (CMR), a UK-based mining company, has announced an exclusive option to acquire the Igli project, a high-grade silver and copper venture situated in the Anti-Atlas region of Morocco. This strategic acquisition marks a significant step for CMR as it expands its portfolio in one of the world's most promising mining regions.

High-Grade Discoveries

The Igli project has shown exceptional potential, with initial results revealing grades of up to 912 grams per ton (g/t) of silver and 2.97% copper. These findings underscore the project's potential to become a major source of high-grade minerals.

Financial Backing and Leadership Changes

To support its ambitious plans, CMR has successfully raised £750,000 ($976,020) through the issuance of a convertible loan note (CLN). A substantial portion of this funding comes from the Prism Group, a private investment firm with bases in Switzerland and the United Arab Emirates.

In a strategic move to strengthen its leadership team, CMR has announced that Dominic Traynor, currently serving as nonexecutive chairperson, will transition to the role of executive chairperson. This change is expected to drive the company's strategic initiatives forward.

Strategic Location and Promising Prospects

The Igli project is strategically located along the same structural corridor as the renowned Tiouit and Imiter mines. Imiter, known for being one of the highest-grade and largest silver mines globally, adds significant value to Igli's prospects.

CMR has secured a 16-month exclusive option to conduct comprehensive geochemical, geophysical, and drilling activities before finalizing the acquisition. Initial sampling has been highly encouraging, with channel and stockpile sampling revealing significant grades: 912 g/t silver and 2.97% copper, 496 g/t silver and 3.34% copper, and 741 g/t silver and 3.21% copper.

Optimism from Company Leaders

Commenting on the acquisition, CMR CEO Charlie Long expressed his enthusiasm: "We are very pleased to have secured exclusivity and an option over the Igli project, one of the highest-grade prospects we have seen over the last 12 months. Its location, directly along strike from Tiouit and Imiter, adds to its perspectivity."

Guy Rothschild, COO of Prism Group, echoed this sentiment, stating, "CMR has a fantastic opportunity in Morocco, and potentially further afield, thanks to management's blend of skills, sector experience, and deal flow."

Acquisition Terms

CMR aims to acquire 90% of the Igli project under several terms, beginning with a $12,000 exclusivity payment in cash, granting the company around two months of exclusivity for legal due diligence. Following this, an $80,000 exclusive option payment will provide CMR with 14 months from September 13 to secure a 90% interest in the property for $560,000.

An additional $60,000 option maintenance fee may be required if the option is not exercised within seven months, deductible from the main cash payment. A final payment of $150,000 is due six months following the cash payment for a 90% stake, payable in either cash or equity. CMR also retains the right to acquire the remaining 10% for $500,000 in cash.

Excluding the initial $12,000 exclusivity payment, the total acquisition cost stands at $790,000 for 90% of the property and $1.29 million for complete ownership.

Future Plans

The $976,020 raised through the CLN issuance will be allocated to CMR’s working capital and capital expenditure, particularly for the Igli exploration programs. This financial boost will enable CMR to advance its exploration activities and unlock the full potential of the Igli project.

With its strategic location, high-grade mineral prospects, and strong financial backing, the Igli project stands poised to become a cornerstone of CMR's operations in Morocco.