Published: 16 July 2013

A unit of Australia Stock Exchange listed Prospect Resources has invested in Zimbabwe's gold mining sector after the Zimbabwe Investment Authority approved the acquisition of a majority shareholding of local exploration company.

The company yesterday announced that it had acquired a 70% stake in a gold exploration company which owns 100% of Bushtick Gold project of Esigodini and has the right to explore and mine at Penhalonga Gold Project amid plans to raise A$4.5 million from a strategic investor.

The deal, the company announced, complies with indigenisation and empowerment regulations compelling foreign-owned companies operating in Zimbabwe to sell 51% stakes to locals.

Prospect also announced that it has also received strong support from strategic investors, including Blumont of Singapore.
- newsday

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