Sovereign Mines extends talks deadline over Guinea project partnership
AIM-listed Sovereign Mines excited investors by revealing it is continuing talks with an unnamed "major third party" about becoming a partner on its Mandiana gold project in northeast Guinea.
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In July, Sovereign entered into an "exclusivity agreement" to early October with the mysterious party but has now extended this to the end of the month, leading the market to assume a deal is near.
This sent shares in the micro-cap company shooting up 162% to 0.84p.
Sovereign said the extension had been granted "in order to attempt to finalise a formal agreement" relating to Mandiana but stipulated that was "no guarantee that such an agreement will be entered into".
The company, which is chaired by former London Securities and Premier Asset Management chief David Pearl, will make a further announcement when the exclusivity period lapses or produces a formal agreement.