(Ecofin Agency) - ASX-listed Manas Resources signed with Cienaga Sarl a memorandum of understanding (MoU) to acquire for $4 million the Victoria gold project in Tanzania. The MoU includes a non-repayable deposit of $200,000, $1.8 million cash component and another $2 million in shares.

The firm said the $1.8 million cash component would be funded through capital raising. As for the $2 million, they will be mobilized by offering shares at AU$0.002 a share. Manas also plans to raise AU$657,000 through share placement to finance the non-repayable deposit, operating funds. However, this will done upon completion of due diligence.

The Victoria gold project covers 350 km2 and is located in a strategic zone, near various gold mines that are scattered over the Lake Victoria’s gold field. Manas resources indicated that despite some of the project’s licences being under joint-venture or subject to pre-existing agreements, the most promising ones remain fully available.

  Louis-Nino Kansoun