Metal Tiger’s ongoing expansion has taken another forward step as it has secured an option to take control of its Thailand venture. For just US$50,000 it can acquire the remainder of the venture that it doesn’t already own, though the plan is to then assign 10% to a local Thai partner, meaning Metal Tiger’s interest would increase to 90% from 10%.
The company is also engaged in advanced negotiations to acquire additional Thai precious and base metal interests.
A joint venture agreement last November set out terms for Metal Tiger to earn up to 75% of a gold and antimony project in Thailand. That agreement would see the company fund up to US$300,000.
The company would have had US$150,000 left to fund, under the prior agreement, though this option will allow it to take full ownership for a total of US$50,000 by the end of this month.
“Metal Tiger’s strategic ambition is to build a large and diversified natural resource business, and expansion of its Thai interests is an important part of that strategy,” says chief executive Cameron Parry.
The Metal Tiger board will visit Thailand this month to progress the transaction and seek to expand the company’s footprint while the AIM quoted company also intends to follow up its success in Spain, where it has a joint venture that has made two potentially substantial tungsten discoveries.
“By further expanding our interests on the ground in both Thailand and Spain we will be creating critical mass in our Direct Projects division in both countries and that makes sense from a strategic business perspective,” Cameron Parry says.