Papillon Holdings has provided an update relating to the Company’s agreement with Mayflower Capital Investments on the purchase of the Kilimapesa Gold Mine in Kenya.
The completion of the Transaction is a key component of the Company’s planned re-admission to the Official List by way of a Reverse Take Over (‘RTO’) and to trading on the Standard Segment of the Main Market of the London Stock Exchange and contemporaneous dual listing on the Frankfurt Stock Exchange.
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Further to the announcement of 11 March 2021, Mayflower and the Company have signed the formal share purchase agreement in respect of Mayflower Gold.
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This is another key condition to the Company’s agreement with Mayflower in respect to the RTO and represent satisfaction of further conditions of Mayflower’s agreement with Goldplat and Gold Mineral Resources to acquire Kilimapesa.
Signing has enabled Papillon to continue moving through the Transaction process towards completion of the RTO.
The Financial Conduct Authority (the ‘FCA’) is actively engaged in finalising Papillon’s Prospectus and the Company is assured that the review is advancing well.
Operations at the Mine are also progressing positively, with underground mining operations and developments ongoing.
High grade underground ore has been stockpiled and is being processed through the plant used historically by Goldplat for its gold pours and processing and from which the gold dore is exported to Europe for refining and sales.
Papillon’s executive director Charles Tatnall comments:
“The Transaction continues to progress well, with Papillon and Mayflower having signed the Share Purchase Agreement, which paves the way towards the RTO; this is a major milestone in our journey to acquiring Kilimapesa and thus securing the potential value upside of an operating gold mine for our shareholders.
“To the credit and hard work of the various teams, several other key components have been achieved in recent weeks including consent to the acquisition of Kilimapesa by the Ministry for Petroleum and Mining and receipt of the confirmation from the Competition Authority in Kenya.
“On the ground in Kenya, operations continue at the Mine and we look forward to providing an update in due course. In the meantime, we are in a strong position to complete the RTO process in the internal time frame we set ourselves and I look forward to advancing the remaining necessary approvals ahead of finalising the Transaction and completing the RTO.”