Chinese state-owned mining company Chinalco (Xiong’an) Mining Corporation Limited has agreed to acquire a 95% stake in the Opuwo Cobalt-Copper Project from Australian-listed Celsius Resources Limited in a deal valued at N$246.75 million (US$15 million).
According to Celsius Managing Director Bardin Davis, the binding Share Sale Agreement covers Celsius’ 95% interest in Opuwo Cobalt Holdings (Pty) Ltd and an intercompany loan held through its wholly owned subsidiary, Opuwo Cobalt Pty Ltd.
The agreement has a six-month completion period ending 29 December 2026, during which the parties will work to satisfy the outstanding conditions required for the transaction to proceed.
As part of the agreement, Chinalco (Xiong’an) Mining has committed to spending at least N$12.34 million (US$750,000) on exploration and a further N$4.11 million (US$250,000) on metallurgical test work while regulatory approvals are being secured.
The work is intended to support the renewal of the project’s Exclusive Prospecting Licence (EPL) and Environmental Clearance Certificate (ECC).
“Celsius is delighted to have concluded an agreement with an entity of Chinalco (Xiong’an) Mining’s international standing and reputation. We believe that Chinalco (Xiong’an) Mining is well positioned to progress the Opuwo Project, which will deliver substantial benefits to Namibia and the local community. Subject to the conclusion of our MMCI arbitration proceedings, we intend to deploy transaction proceeds to support the development of the MCB Copper-Gold Project,” Davis said.
The acquisition remains subject to several conditions, including approval by Celsius shareholders, renewal of the EPL and ECC, clearance from the Namibian Competition Commission and the Bank of Namibia, as well as approvals from the relevant Chinese regulatory authorities.
The transaction must also receive a waiver of pre-emptive rights from the project’s 5% minority shareholder and satisfy other customary closing conditions.
Located in Namibia’s Kunene Region, the Opuwo Project is an advanced cobalt-copper exploration and development asset with a Mineral Resource Estimate of 225.5 million tonnes, grading 0.12% cobalt, 0.43% copper and 0.54% zinc.
The resource contains an estimated 259,000 tonnes of cobalt and 970,000 tonnes of copper, including 45.3 million tonnes in the indicated category and 180.2 million tonnes in the inferred category.
Celsius said the sale would allow the company to sharpen its focus on its copper-gold portfolio in the Philippines while providing a significant source of near-term funding.
Subject to the resolution of an ongoing arbitration involving Makilala Mining Company Inc. (MMCI), the company intends to use the proceeds to advance development of its MCB Copper-Gold Project.
