Zimbabwe gold mining, development and exploration company Metallon Corporation has announced the sale of Arcturus Mine to TN Securities (Pvt) Ltd to prioritize their investments, focus resources and reduce costs
In a statement by the group Chief Executive Officer Ken Mekani, the transaction provides the mine which was on care and maintenance, with the opportunity to resume of operations, “leading to job creation and increased gold output for the country.”
“Metallon is pleased to announce the sale of Arcturus Mine to TN Securities, a Zimbabwean investment company.
“Metallon has four operating mines and over 8 million ounces of gold resources. The sale of Arcturus Mine is in line with Metallon’s strategy to prioritise our investments, focus resources and reduce costs.
“The transaction provides the mine, which was on care and maintenance, with the opportunity for the resumption of operations, leading to job creation and increased gold output for the country.
“Arcturus is a robust asset with a significant gold resource and Metallon received offers from a number of potential investors, both from within Zimbabwe and abroad,” he said.
Mekani added that they have taken the decision to sell the mine in order to empower local investors.
“We have taken the decision to sell the mine to a Zimbabwean Company in order to empower local investors.
“As part of the transaction, Metallon has ceded all of its rights and obligations concerning Arcturus Mine to TN Securities (Pvt) Ltd. This includes, but is not limited to, trade and statutory creditors and the mining rights over Arcturus mining lease Number 33.
In the first quarter of 2016 Metallon placed Arcturus Mine under care and maintenance with mining operations suspended due to consistent losses.