Metalex Commodities Inc. and Central African Renewable Energy Enter Binding Term Sheet to Form Lunda Resources in Zambia

LUSAKA, Zambia, Sept. 23, 2024 /PRNewswire/ -- Metalex Commodities Inc. is pleased to announce that it has entered into a binding business combination agreement with Central African Renewable Energy (CARE) to establish a new joint venture, Lunda Resources. This new entity will focus on exploiting the growing opportunities within Zambia's Northwestern Province, an area increasingly recognized as the new copper belt.

Lunda Resources will manage three mining licenses in the Northwestern Province, covering a total area of 349 square kilometers. In addition to these licenses, the new company will be equipped with advanced mining and processing infrastructure, including a 240 Metric Ton per Hour copper and cobalt concentrator.

Under the terms of the agreement, Metalex Commodities Inc. will invest $102 million to advance these assets to production over an 18-month period, starting in June 2024. This significant investment underscores Metalex's commitment to developing high-value projects and enhancing production capabilities.

A portion of the license portfolio includes a JORC-compliant report indicating 29 million tons of medium-grade copper-cobalt ore. Further geological investigations will be conducted to refine resource estimates and better define the potential of these assets.

"We are excited to partner with Central African Renewable Energy to create Lunda Resources," said Ayo Sopitan, Founder & CEO of Metalex Commodities Inc. "This partnership aligns with our strategy to develop key mineral assets in emerging regions. Our investment will accelerate the path to production and capitalize on the high potential of the copper belt. We are also committed to ensuring that our operations are sustainable and efficient."

CARE CEO, Frank Masaka said "We are delighted by this development. We believe we have a long-term partner with the ability to deliver in Metalex and we are looking forward to a fruitful partnership.

About Metalex Commodities Inc.

Metalex Commodities Inc. is dedicated to delivering carbon-neutral critical metals from Africa to the global market. The company focuses on developing low-cost mining assets while engaging in practices designed to decarbonize operations and generate carbon credits to offset post-decarbonization emissions.

About Central African Renewable Energy

Central African Renewable Energy is a Zambian-based exploration company with an extensive portfolio of licenses in energy metals. Positioned strategically within Zambia, CARE is a vital partner in the global green energy transition, leveraging its assets to contribute to the world's sustainable energy goals.

Forward-Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those projected. Readers are cautioned not to place undue reliance on these statements.

For more information, please contact:

Ayo Sopitan
Metalex Commodities Inc.
Phone: 201-682-4770
Email: [email protected]
Website: www.metalex.africa

SOURCE Metalex Commodities