Trigon Metals has revised its agreement with Horizon Corporation, lowering the sale price of its 80% stake in the Kombat Mine from US$30 million to US$24 million.
The payment will be made in eight equal quarterly installments.
Subsequent payments, following the first installment, will be contingent upon securing third-party debt financing of at least US$10 million for the mine’s development.
If this financing is not secured within 18 months of the transaction’s approval, Horizon may either proceed with the payments or return 90% of its Kombat Mine shares to Trigon.
In such a scenario, all capital contributed by Horizon will be converted into debt, with Trigon assuming responsibility for repayment.
Additionally, the principal loan amount from Horizon to Trigon has been reduced from US$5 million to US$4 million, disbursed in five structured tranches.
Horizon has also committed to investing US$500,000 in Trigon’s private placement offering and has offered an additional US$2 million loan, providing Trigon with financial flexibility ahead of obtaining shareholder approval for the transaction.
Trigon Metals CEO and Executive Chairman Jed Richardson said the revised terms protect shareholder interests while securing necessary financing.
“The revised terms of the sale of Trigon’s interest in the Kombat Mine ensure that Trigon’s shareholders continue to benefit from the future success of the asset while reducing dilution and securing essential financing for our ongoing projects,” Richardson said.
The agreement includes modifications to payment terms related to outstanding liabilities owed to IXM S.A. and Sprott Private Resource Streaming and Royalty (B) Corp.
A follow-on payment structure has been introduced, linking additional payments to the London Metal Exchange (LME) copper price and future mill expansion at the mine.
Horizon Corporation’s Executive Chairman, Bradley Rawson, emphasized the company’s commitment to the mine’s development and community engagement.
“We remain excited about the opportunity to build on the Kombat Mine’s legacy. These revisions allow us to move forward in a structured manner while ensuring that our financing plan supports the mine’s development and community engagement in Namibia,” Rawson said.
Knowledge Katti, Namibian businessman and partner of Trigon Metals, commented, “This deal is not just a win for the mine and its investors—it’s a transformative moment for Kombat and the communities surrounding the Kombat Mine. By prioritizing sustainable development and local employment, this partnership could create lasting opportunities for generations. The revised terms align economic growth with social responsibility, reinforcing our pride in supporting a project that strengthens both the country’s mining sector and its people.”
The proposed transaction remains subject to shareholder approval, third-party agreements, and regulatory clearance, including approval from the TSX Venture Exchange.
