Introduction

In a strategic move poised to reshape their mining portfolios, Ubique Minerals Limited (CSE: UBQ, FRA:2UM) and GreenBank Capital Inc. (CSE: GBC, OTC PINK: GRNBF, FRA:2TL) have announced the acquisition of the Stanhove gold tailings in Johannesburg. This partnership marks a significant expansion for both companies, tapping into untapped historical gold deposits in one of the world's most renowned gold mining regions. The deal, set at over CAD $3.38 million, highlights the companies' commitment to unlocking new opportunities in the mining sector.

Ubique Minerals, established in 2018 and publicly listed on the Canadian Securities Exchange, is primarily focused on exploring zinc properties in Newfoundland and Namibia. With a track record of multiple discoveries, the company now ventures into the gold sector. GreenBank Capital, known for its innovative approach to business transformation, partners with Ubique to finance and manage this ambitious project. The Stanhove tailings, located in the East Rand gold basin, represent a rich historical accumulation of gold-bearing waste, with significant residual gold due to early, less efficient mining techniques.

Key Highlights and Advantages

• Strategic Acquisition: Ubique and GreenBank will each acquire 50% ownership of MJR Mining and Exploration (PTY) Ltd, which owns the Stanhove tailings.
• Financial Structure: The deal involves:
  • An initial cash payment of CAD $846,103.
  • Two CAD $500,000 convertible debentures at 6% interest over 36 months.
  • An additional CAD $1,538,309 after producing the first 5,000 ounces of gold.
  • Total transaction value: CAD $3,384,341.
• Operational Roles: Ubique will oversee mining and processing operations, while GreenBank manages financial aspects and gold sales.
• Resource Potential: Initial drill sampling shows gold values increasing with depth, suggesting significant untapped potential in the tailings.

Potential Impact and Significance

This acquisition promises to enhance both companies' mining portfolios and diversify their assets. For Ubique, the venture into gold mining complements its zinc projects and broadens its resource base, potentially leading to increased revenue and investor interest. GreenBank's role as the funding partner underscores the financial viability of the project, highlighting their confidence in the operational expertise of Ubique. The project is expected to unlock substantial gold reserves, which were overlooked by earlier mining operations, thereby presenting a lucrative opportunity.

Expert Opinions and Analysis

Vilhjalmur Thor Vilhjalmsson, CEO of both GreenBank and Ubique, stated, "This acquisition represents a strategic step for both GreenBank and Ubique in expanding our mining assets and leveraging the potential of the Stanhove tailings dump. As partners, GreenBank will provide the necessary funding and handle the sales of gold, while Ubique will manage the operations, ensuring a balanced and effective approach. We are confident that this investment will yield significant returns for our shareholders."

Challenges and Considerations

While the prospects are promising, the acquisition faces several challenges, including:

• Regulatory approvals and issuance of mining permits.
• Technical due diligence to verify the project's feasibility.
• Potential variability in gold recovery rates from the tailings.

However, the strategic partnership between Ubique and GreenBank, coupled with their combined expertise, positions them well to address and mitigate these challenges. Their detailed due diligence and robust planning processes aim to ensure the project's success and stability.

Conclusion

The acquisition of the Stanhove gold tailings by Ubique Minerals and GreenBank Capital marks a pivotal expansion in their mining ventures. This strategic move, supported by thorough financial and operational planning, underscores the potential for significant returns and enhanced market presence. As both companies navigate this new venture, the business community and potential investors can anticipate promising developments and growth in the mining sector. This partnership exemplifies the forward-thinking and dynamic strategies essential for success in the ever-evolving mining industry.

View original press release here: https://www.accesswire.com/879137/acquisition-of-the-stanhove-gold-tailings