Eritrean Geologists

Canadian Gold Hunter Corp. has today announced that it is going to acquire Sanu Resources Ltd. in order to expand its gold and base metal mining business to Africa. 

Sanu Resources has mining and exploration programs in Eritrea, Burkina Faso, Marocco and the Republic of Congo.

However, Sanu’s largest mining program in Africa is targeting copper, zinc and gold exploration in Eritrea.

Today’s announcement can be seen as a move by Canadian Gold Hunter Corp. to get a foothold in Eritrea, which is said to become a mining destination soon.

This would be the second consolidation of companies targeting Eritrea after the planned merger of Chalice Gold and Sub Sahara Resources.

Sanu began exploration in Eritrea in 1998 and in 2006 they discovered precious metals and minerals in the Hambok deposit 200 km west of the capital Asmara.

Sanu holds its exploration ground through exploration licenses granted by the Eritrean government. The government retains a 10% carried interest in all discoveries and has the right to acquire an additional, fully-contributing, participatory interest in any discovery.

Canadian Gold Hunter said it will issue 0.5725 of its share for each Sanu share. Based on Canadian Gold Hunter’s prior closing price of 36.5 Canadian cents, the deal values Sanu at about 21 Canadian cents a share, a premium of 27 percent to its previous close.

Canadian Gold Hunter, which is represented in South America and Canada, has with this deal opened a promising growth potential for themselves in the Africa.

Related posts:

1. Eritrea: Canadian Gold Hunter, Sanu Resources Merger Complete
2. Eritrea: Sanu Resources Ltd. Special Shareholders’ Meeting on Merger in August
3. Shanghai Construction says to acquire Eritrean gold mine
4. Chalice Gold Mines Entitled to A$5 Million Following Merger with Sub-Sahara Resources
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6. Sunridge Gold Inks Strategic Partnership With Antofagasta
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8. Chalice Gold Raised $4.401.000 for Project in Eritrea
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