Kazera Global first invested in African Tantalum (Proprietary) Limited (“Aftan”) in 2014 when a 75% interest was acquired for £0.66 million. The remaining 25% was acquired in 2020 for a further £0.22 million. Aftan initially held a 60% interest in the Tantalite Valley Mine (“TVM”), located in South Eastern Namibia. This was increased to 100% in 2015.

In July 2022, Kazera announced an agreement to secure a non-dilutive US$7.5 million investment in return for a 49% stake in the Company’s marketing, sales, and export subsidiary for all lithium production from the TVM.

Subsequently, in December 2022, Kazera agreed to dispose of African Tantalum (Pty) Ltd (“Aftan”) for a cash consideration of US$13 million plus a debenture payment of 2.5% of the gross sales of produced lithium and tantalum for life-of-mine. Completion of the sale was subject to receipt of full consideration proceeds.

Aftan was deconsolidated from the Company’s financial statements with effect from 4 January 2023 because, in accordance with the terms of the sale agreement, it relinquished control of Aftan in favour of the purchaser, Hebei Xinjian Construction Close Corp (“Hebei”) with effect from that date. Kazera retained the right to cancel the transaction and retain all amounts paid to date in the event of default by Hebei Xinjian.