Apollo Minerals has entered into a non-binding Memorandum of Understanding (MOU) for the exploration and development of its Kango North Iron Project in Gabon, West Africa. The Kango North Project is a potential near term, low cost development asset, located in close proximity to key infrastructure in a highly sort after, emerging West African iron ore precinct.
The MOU is with a major publically listed, diversified international company, who may earn up to a 50.01% interest in the project by providing US$4M for drilling and delineation of high grade DSO and beneficiable iron ore. Detailed review and due diligence is underway and subject to agreeing formal documentation a binding definitive agreement is expected prior to end of Q1, 2014. Apollo and the partner will jointly manage the exploration program.
Apollo continues to progress key elements of the project. A stage one mine development concept study is currently being finalised and follow up field mapping and sampling are also underway. The company has also entered in a selection process to engage a group to prepare the environmental impact assessment associated with the drilling and development phases of the project, and a decision on this is expected shortly.