Galileo takes over Botswana copper firm Crocus-Serv

Galileo Resources has completed the acquisition of Botswana-incorporated Crocus-Serv, it announced on Thursday, having satisfied the conditions under the heads of agreement.

The AIM-traded firm said Crocus's assets included 21 exploration prospecting licences, of which 19 were in the “highly prospective” Kalahari Copper Belt, and two were in the Limpopo Mobile Belt in the west and north east of Botswana, respectively.

It said the prospecting licences covered a total 14,875 square kilometres.

In terms of the heads of agreement, the company issued a total 38,814,246 new Galileo shares at 0.42p each to Crocus as consideration, and would make a cash payment of £10,828.

The consideration shares would be subject to orderly market arrangements, as Galileo set out on 7 May.

It said it has applied for the shares to be admitted to trading on AIM, which was expected on or around 28 May.

Additionally, the company issued 26,505,000 fully-paid ordinary shares for the exercise of warrants under the placing agreement of 17 October 2019.

“We are pleased to have completed this acquisition of Crocus with its copper licences in the highly prospective Kalahari Copper Belt and nickel-copper-platinum group metal licences in the Limpopo Mobile Belt in Botswana,” said chief executive officer Colin Bird.

“The Galileo team look forward to commencing exploration on the properties with the complementary benefit of Crocus's in-country experience in technical and regulatory administrative matters.”

At 1457 BST, shares in Galileo Resources were down 10.05% at 0.9p.