What's Happening?
Hamak Strategy, a company listed on the London Stock Exchange and OTCQB, has regained complete ownership of the Nimba gold project in Liberia. This development follows the termination of a joint venture
with First Au, an Australian company, which decided to focus solely on projects in Western Australia. As a result, Hamak reacquired First Au's 35% stake in the Nimba project without any upfront cost. The joint venture, which began in May of the previous year, saw First Au invest over A$600,000 in exploration activities. Despite the termination, Hamak received 100 million shares in First Au and A$250,000 in cash. The company plans to sell these shares for A$750,000 once they are released from escrow. Hamak is also advancing due diligence on the Akoko gold project in Ghana, with plans for a significant drilling program to confirm existing gold resources.
Why It's Important?
The reacquisition of the Nimba project allows Hamak to fully control a potentially lucrative gold mining operation at a time when gold prices are at record highs. This strategic move could enhance Hamak's position in the gold market, especially as it aligns with their broader strategy involving gold and bitcoin. The decision by First Au to withdraw from international projects underscores a trend where companies are refocusing on domestic opportunities, potentially opening up international assets for other players. For Hamak, this presents an opportunity to capitalize on the high gold prices and further develop the Nimba project. Additionally, the progress on the Akoko project in Ghana could lead to significant resource confirmation, bolstering Hamak's portfolio and market position.
What's Next?
Hamak is in discussions with a potential new joint venture partner to further develop the Nimba project. The company is also preparing for a 4,250-meter drilling program at the Akoko project, which aims to enhance confidence in the existing gold resource. This program is contingent on the successful completion of due diligence, which includes legal confirmations and community engagement. Hamak is also considering restructuring its board and management to better align with its expanding operations. These steps indicate a proactive approach to leveraging their assets and positioning themselves for growth in the gold mining sector.
