Thursday , June 13 2024

Chinese buys controlling stake in Walkabout Resources

Chinese engineering firm Jinpeng Mining and Machinery has invested US$1M in Walkabout Resources via a placement authorised by the board.

The development comes, as the company prepares to submit a mining licence the Lindi Jumbo Graphite Project in south eastern Tanzania.

Following the share acquisition Jinpeng will now become WKT’s largest shareholder with a holding of 10.6%.

However, the company has not ruled out further investment to support the company in developing the Lindi Jumbo Graphite Project.

Meanwhile Walkabout Executive Chairman Trevor Benson said the new share structure is an endorsement of the high quality of our Lindi Jumbo large flake graphite

“The introduction of an EPC Partner as a cornerstone investor is significant,” said Benson, adding that it aligns with the company’s fast-track modular contracting and development strategy and thirdly Jinpeng are impressed with the depth, experience and capability of the leadership team.

Benson said within the 15% placement capacity, remains 4,599,023 shares available for placement at the same issue price of A$0.0711 per share.

He said the company will place these shares with qualifying Sophisticated Investors as required by Section 708 of the Corporations Act.

The placements are expected to be finalised before the end of September.

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