Askari Metals Schedules October Vote on $200M Ethiopian Gold-Copper Project
Askari Metals is gearing up for a pivotal shareholder meeting to approve its Ethiopian gold and copper acquisition, while restructuring debt and expanding European investor outreach.
- Shareholder meeting scheduled for October 2025 to approve Nejo Gold and Copper Project acquisition
- Debt restructure agreement allows repayment via shares and cash, easing financial flexibility
- Engagement of AXINO Capital to boost European investor relations and market presence
- Completion of share consideration payments for Adola Greenstone Belt Gold Projects acquisition
- Strategic divestment of Australian assets to focus on African exploration portfolio
Strategic Shift to African Exploration
Askari Metals is accelerating its transformation into a focused African exploration company, anchored by its district-scale footprint along Ethiopia’s Arabian-Nubian Shield. Central to this strategy is the pending acquisition of the advanced-stage Nejo Gold and Copper Project in Central-Western Ethiopia, a move that requires shareholder approval at a meeting scheduled for early October 2025. This acquisition promises to position Askari as a significant player in the region’s mineral exploration landscape.
Complementing Nejo, the company has recently completed key share-based payments to finalize its acquisition of the Adola Greenstone Belt Gold Projects in Southern Ethiopia. These projects will be advanced through systematic exploration, running concurrently with activities at Nejo, signaling Askari’s commitment to building a robust gold portfolio in the country.
Financial Restructuring for Growth
In a bid to strengthen its balance sheet and preserve cash for exploration, Askari Metals has restructured its debt with creditor Mr Zhengrong Chen. The agreement allows the company to repay an outstanding loan note facility through a combination of shares and cash, spreading repayments over several months. This flexibility reduces immediate cash outflows and aligns with the company’s growth ambitions.
Additionally, the company has issued listed options as a variation fee, further demonstrating a creative approach to managing financial obligations while maintaining shareholder value.
Expanding European Investor Engagement
To broaden its investor base and increase visibility in Europe, Askari Metals has engaged AXINO Capital to provide corporate communication services across Germany and other European markets. With approximately 5% of its issued capital held by European shareholders and a listing on the Frankfurt Exchange, this move aims to deepen investor awareness and support for the company’s African-focused growth strategy.
AXINO Capital’s engagement is compensated through shares, reflecting a strategic partnership designed to enhance Askari’s profile in key financial communities.
Asset Divestment and Focused Exploration
As part of its strategic realignment, Askari is advancing the divestment of its Australian exploration assets to unlock value and concentrate resources on its African projects. The company is also seeking joint venture partners to further develop its Uis Project in Namibia, which holds promising high-grade tin and tantalum pegmatites.
Exploration efforts are ramping up with planned reconnaissance field programs targeting high-grade copper and gold zones at Nejo, setting the stage for maiden drilling campaigns in the coming months.
Looking Ahead
With a clear focus on African mineral assets, a restructured balance sheet, and enhanced investor relations, Askari Metals is positioning itself for a transformative phase. The upcoming shareholder meeting will be a critical milestone, potentially unlocking significant value and catalyzing exploration momentum.
Bottom Line?
Askari’s next moves, especially the shareholder vote and exploration progress, will be pivotal in defining its African growth trajectory.
Questions in the middle?
- Will shareholders approve the Nejo acquisition, and on what terms?
- How will the debt repayment schedule impact cash flow and exploration budgets?
- What exploration results can be expected from the maiden drilling at Nejo later this year?
