(Ecofin Agency) - Stratex International announced today March 26 that it has received the Senegalese government’s approval for a recently-concluded deal with AGEM, a subsidiary of Iamgold, regarding the Dalafin gold project.

According to the agreement, AGEM will acquire an initial stake of 51% in the project by investing $4 million over a period of 4 years. The two companies will form a joint venture to manage the project if the option is exercised. AGEM could also increase its share to 70% by investing another $4 million over 2 years.

“We are delighted to have had this agreement formalized so quickly, enabling the work program at Dalafin to begin in earnest,” said Tim Livesey, Stratex’s CEO.

Exploration will first focus on the prospect of Madina Bafé, located 12km from Boto project which is managed by Iamgold. It may be extended to other areas of the permit, including the Fare prospect, where the majority of the works has been focused to date.