By funding US$1.56 million on exploration over two years, Stratex can earn an initial 51% of the two projects from Bureau d'Etudes et d'Investigations Géologico-minières, Géotechniques et Géophysiques (BEIG3), with at least $560,000 to be committed in the first year.
The work plan for the first stage includes infill trenching at Bakassi to better define key gold anomalies and identify drill targets, while at Wapouzé, Stratex plans to conduct detailed mapping and reconnaissance soil and rock sampling and trenching to define areas of more concentrated gold anomalies to be drilled.
The remaining 39% can be earned with further exploration expenditure of $1.56 million over a further two years to complete a prefeasibility study.
Under the agreement, the two parties will form a joint venture managed by a committee, comprising three Stratex representatives and two BEIG3 representatives, with the former to manage the projects and the latter to provide consulting, as well as operational and logistical support.
To progress the projects, Stratex said it would raise a minimum of £1 million (US$1.3 million) and up to £1.25 million via an ordinary placement of 250 million shares at 0.5p per share.
This represented a discount of 19% to the 30-day volume weighted average price of its ordinary shares on June 11.
The funds will also be used to support its ongoing exploration and other projects.
Stratex CEO Tim Livesey has been linked to the two projects before, noting they had been previously part of a JV between BEIG3 and Reservoir Minerals, of which he was COO until 2016 when it was sold to Nevsun.
"These have recently been returned 100% to BEIG3 and so we look forward to picking-up where Reservoir left off. This earn-in to early-stage projects in West Africa is wholly in line with the company's stated strategy, outlined earlier this year, and entirely complements management's regional expertise and experience," he said.
