Arc Minerals and Anglo American Joint Venture Progress

Shares Rise as Regulatory Conditions are Met and Drilling Commences in Zambia

Arc Minerals recently announced significant progress in its joint venture with Anglo American, resulting in a surge in share prices. The company confirmed that a majority of the regulatory conditions have been satisfied, and drilling activities have commenced at one of the crucial copper licenses in Zambia.

At 09:50 AM GMT, Arc Minerals’ shares experienced a notable increase of 0.3 pence, corresponding to an 8.8% rise, reaching 3.7 pence.

In an official statement released on Friday, the mining group disclosed that both parties have successfully completed the subscription of shares within the joint venture. Anglo American currently holds a significant 70% interest, while the remaining share is held by Unico Minerals, a subsidiary of Arc Minerals, with a controlling stake of 67%.

Back in May 2022, Arc Minerals entered into an agreement with Anglo American. Under the terms of the agreement, Anglo American would acquire a 70% stake in the joint venture in exchange for an aggregate investment totaling up to $88.5 million, which includes a cash contribution of up to $14.5 million.

However, the deal faced minor setbacks as temporary closures of the Mining Cadastre by the Zambian Mines Ministry delayed the process. Nevertheless, the issues have been resolved, allowing the joint venture to move forward.