Australian-listed C29 Metals will spend A$4.7 million (about N$56 million) to enter Namibia’s mining sector through a copper and gold acquisition covering seven exploration licence applications across three project areas spanning about 1,074 square kilometres in the Otavi Copper Belt and Damara Gold Belt.
The company announced on 30 April that it had signed a binding agreement with Australian private company Cancun Gold Pty Ltd to acquire 100% of Cancun Gold, which already holds — or has agreements to acquire — an 80% interest in the Namibian portfolio, with C29 also securing the right to increase its stake to 90%.
Cancun Gold holds, or has agreements to acquire, an 80% interest in seven exploration licence applications covering 1,073.76 square kilometres across Namibia’s Otavi Copper Belt and Damara Gold Belt. The portfolio includes two Kopermyn EPL applications under Cancun Energy, four Twin Hills East licences held through Cancun Energy and Jalp Mining, and the Navachab East licence, where a transfer request involving Elina Naukill remains pending approval
The deal gives C29 entry into one copper project and two gold projects situated in Namibia’s Otavi Copper Belt and Damara Gold Belt, regions regarded among the country’s most important mineral provinces.
At the centre of the acquisition is the Kopermyn Copper Project in the Otavi Copper Belt, where historical mining and more recent drilling have already confirmed high-grade copper mineralisation.
The project lies adjacent to Midas Minerals’ Otavi Copper Project and within reach of the Tsumeb copper smelter, giving it strategic infrastructure advantages.
The project includes a 149-square-kilometre concession with old open-pit workings and tailings from previous mining operations.
Reverse circulation drilling conducted in 2022 returned significant shallow copper intersections, including 6 metres at 4.79% copper from 27 metres, 12 metres at 2.08% copper from 31 metres and 15 metres at 1.78% copper from just 6 metres depth.
C29 said the mineralisation remains open along strike and at depth, with more than 10 kilometres of interpreted basement-cover contact still largely untested.
The company believes the project hosts a potentially extensive stratabound sediment-hosted copper system associated with the Nosib Group sediments in northern Namibia.
Beyond copper, the transaction also gives C29 access to the Twin Hills East and Navachab East gold projects in the Damara Gold Belt, one of Namibia’s leading gold-producing regions.
The Twin Hills East Project covers roughly 700 square kilometres and lies along strike from the Twin Hills Gold Project, which is expected to enter production in 2027 and become Namibia’s third operating gold mine.
The licences are also adjacent to Antler Gold’s Onkoshi Project and situated in an area already hosting major gold deposits and mines.
The Navachab East Project sits directly next to the Navachab Gold Mine, Namibia’s longest-running gold operation, and is positioned about 20 kilometres from Twin Hills.
C29 said the project benefits from existing infrastructure, including roads, electricity and nearby processing facilities, while modern exploration in the area remains limited.
Under the acquisition terms, C29 will pay an initial cash consideration of A$155,000, issue 22.9 million shares and make deferred cash payments totalling A$150,000 over 12 months.
Additional deferred shares and performance rights are tied to exploration success and future resource milestones.
One set of performance rights will convert if the company reports at least five drill intersections grading 10 metres at 2% copper or better within 24 months. Another tranche will convert if the company defines either a 250,000-ounce gold resource grading at least 1 gram per tonne or a 20 million tonne copper resource grading 1% copper within 36 months.
The vendors will also retain a 1.5% net smelter royalty over minerals produced from the projects.
Completion of the acquisition still depends on due diligence, regulatory approvals, shareholder approval and the formal granting of the Namibian exploration licences.
Some of the shares issued as part of the transaction will remain under escrow until the licences are granted, failing which the securities may be cancelled after 12 months.
To support the Namibian expansion, C29 has secured commitments to raise A$4.7 million from investors.
The funds will be used for exploration activities on both the Namibian and Australian projects, acquisition costs and working capital.
The company has also appointed veteran geologist Rod Watt as exploration manager. Watt brings more than 35 years of experience in copper and gold exploration and project development across multiple jurisdictions.
C29 managing director Shannon Green described the acquisition as the beginning of “a new chapter” for the company, saying Namibia offered exposure to “a highly prospective copper and gold portfolio” in one of Africa’s leading mining jurisdictions.
