HARARE – UK-listed mineral explorer Kavango Resources has announced plans for a secondary listing on the Victoria Falls Stock Exchange (VFEX) in a bid to attract local capital for its gold exploration ventures in Zimbabwe.
The company revealed on Friday that it has appointed Inter Horizon Advisory as the lead financial advisor for the proposed transaction.
“The proposed listing will provide an opportunity for Zimbabwe-based investors to participate in Kavango’s exploration and mining development opportunities. This will provide the company with access to an enlarged pool of capital and shareholder base and meet Kavango’s strategic objective of promoting strong local ownership in its projects,” Kavango stated.
Kavango entered the Zimbabwean market last year with an option to purchase 45 gold claims, identifying potential in a country that has experienced limited exploration activity in recent years. The company is currently exploring the Nara Project in Matabeleland North, which it believes could host a bulk mineable gold deposit. Historical mining operations in the area have produced up to 250,000 tonnes of tailings, which Kavango also hopes to process for additional gold recovery.
“Over the past 12 months, we have made a strong commitment to invest heavily in Zimbabwe’s gold exploration and mining development sectors,” said Ben Turney, CEO of Kavango.
“A key part of our strategy is to promote local ownership in Kavango to share the rewards of future success. Kavango has made a very strong start in the short time we have been here, with our exploration and drilling already delivering positive results. We believe that the more success we have, the greater the chance that other international firms will follow our lead to invest in this great country.”
The VFEX, which operates exclusively in USD, was established in 2020 to attract foreign investment. Current miners on the VFEX include Bindura Nickel Corporation and Caledonia Mining Corporation.
In 2022, Karo Platinum issued a US$50 million bond on the exchange. Padenga Holdings, which controls gold company Dallaglio, listed on VFEX in 2021, lured by forex retention incentives that have since been removed. VFEX boasts a market capitalization of US$1.26 billion with 15 listed securities.
Source: NewZwire
