Germany Chancellor plans lithium deal with Serbia after Rio ruling
Olaf Scholz plans to visit Serbia this week to secure supplies of lithium that are critical for the nation’s energy transition and auto industry.
Shares of Endeavour Mining were up 6.15% on the TSX on Monday, after the Canadian company agreed to buy Australia’s Adamus Resources, which gained 9% on the news.
Under the $313.4 million deal announced on Sunday, the two companies will merge into a new West Africa-focused gold producer. They are expecting to produce 172,000 ounces of gold in 2011 from the Youga Gold Mine in Burkina Faso and the Nzema Gold Mine in Ghana at cash cost of US$575-$625 per ounce. Production is anticipated to jump to 250,000 ounces a year by the close of 2013.
Endeavour says it will put at least US$160 million towards paying down debt on the Adamus’ Nzema project and to reduce gold hedging volumes.
Adamus, which poured the first gold at its Nzema project in Ghana in January, had earlier said it was ramping up output from the processing mill to full capacity, according to Reuters.
