- Metal Tiger welcomed news that its joint venture partner in Botswana, MOD Resources, had received an offer from Sandfire Resources to acquire its outstanding shares in MOD Resources.

MOD Resources investors had been offered 0.0664 new Sandfire ordinary shares for every MOD ordinary share.

The deal represented an effective offer price of A$0.45 per share based on the five day VWAP of Sandfire shares.

Pursuant to the Offer, MOD would exercise its option over Metal Tiger's 30% interest in Tshukudu Exploration, with an exercise price of around A$10m due to Metal Tiger.

'We are delighted by today's news which could be transformational for the Kalahari Copper Belt as well as Metal Tiger,' chief executive Michael McNeilly said.

'Metal Tiger has invested a total of approximately £7.7m which means that, should the Offer complete, MTR will have generated a total return on investment cost of 3.0 times.'

'This is of course excluding the value of our capped $2m net smelter royalty over T3, as well as the 2% uncapped net smelter royalty over the Tshukudu exploration properties.'

'We believe that Sandfire has the market position and means to progress T3 and its surrounding targets, thereby enabling the release of long-term value in these projects.'

At 9:12am: [LON:MTR] Metal Tiger Plc Ord 0.01p share price was +0.15p at 1.45p

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