Aim-listed investment company Kazera Global has received the second payment of US$400 000 (about N$6.5 million) in accordance with the terms of a deal signed with Chinese company Hebei Xinjian Construction, as announced on July 20.
Under the terms of the deal, Kazera will receive a US$7.5-million (about N$122 million)investment from Hebei in return for a 49% stake in its marketing, sales and export subsidiary African Tantalum for all lithium production from its wholly owned mine at Tantalite Valley, in Namibia.
The investment would consist of a mixture of cash, machinery and services, with a minimum of US$2.5-million payable to Kazera in cash. The first payment of US$100 000 was paid on July 25 and the second tranche of US$400 000 on August 15.
“The timely receipt of the second instalment of the investment under the lithium deal, highlight[s] Xinjian’s positive outlook for Kazera’s joint venture,” Kazera CEO Dennis Edmonds said.
The remaining balance in instalments will be due on or before January 31 next year.
“We are now focused on maximising this investment in our Namibia operations with a view to also substantially increasing tantalum production this year, and to commence lithium sales in the first quarter of 2023 for which the global energy landscape and the importance of materials linked to the electric revolution continues to grow apace by the day,” Edmonds said.