USD$9,500,000 Financing Term Sheet Signed for Kamativi Lithium Tailings Project
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1015 – 789 West Pender Street, Vancouver, BC V6C 1H2
CSE - CAT
USD $9,500,000 Financing Facility Term Sheet Signed with Transamine Trading S.A.
for the Kamativi Lithium Tailings Project
Vancouver, BC January 9, 2018 – Canadian strategic metals company , Chimata Gold Corp. ( CSE – CAT)
(“Chimata” or the “Company”) announce s the signing of a Term Sheet between Transamine Trading S.A.
(“Transamine”) and the Kamativi Tailings Company (Pvt) Ltd (“KTC”) for a USD $9.5 Million finance and off-take
facility for concentrate produced from the Kamativi Tailings Lithium Project (the “Project”) . Chimata’s local
Zimbabwean partner (https://webfiles.thecse.com/sedar_filings/00032110/1811021139575616.pdf) holds a
60% equity stake in KTC which is a Joint Venture with the remaining 40% of the equity being held by Kamativi
Tin Mines (Pvt) Ltd.
Salient points of the Term Sheet are set out as follows:
• USD $9.5 Million debt funding will be provided as a lump sum payment on completion of the relevant
condition’s precedent by each of Transamine and KTC.
• The tenor of the facility is in line with the construction project plan and allows sufficient time for
repayment from free cash
• The use of proceeds of the financing facility will be put toward the construction of the Phase 1 Processing
Plant to be constructed for the Project and working capital.
• KTC will produce a +6% Li2O Spodumene concentrate to be sold to Transamine.
• Transamine will have the right to 150,000 tonnes of Concentrate produced from the Phase 1 Processing
Plant.
• Commercial terms shall be agreed in line with the international market terms for +6% Li 2O Spodumene
concentrate.
Transamine, a Swiss based off -taker, is a full -service company providing worldwide raw material sourcing,
marketing, finance and investment. Transamine are actively trading other mineral concentrates in Zimbabwe
and have lithium offtake agreements elsewher e in the world . John McTaggart, the Chairman of the Kamativi
Tailings Company, has said “they are a strong partner for the project with their extensive experience in
supporting African mining operations and their long history of minerals marketing internationally. We look
forward to developing a long -lasting and beneficial relationship with Transamine over the years to come ”.
Further information on Transamine, can be found on their website at http://www.transaminetrading.com/
he Project team is looking forward to finalising all documentation to continue the rapid advancement of the
Project and the construction of the Phase 1 Processing Plant to bring the project into production as quickly as
possible.
Alain Moreau, a “ qualified person” as defined by NI 43 -101 – Standards of Disclosure for Mineral Projects has
approved the scientific and technical disclosure in this press release.
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ON BEHALF OF THE BOARD
Richard Groome
Chairman and Interim President and CEO
Further information regarding the Company can be found on SEDAR at www.SEDAR.com, or by contacting the
Company directly at (604) 674-3145.
This news release may contain forward–looking statements. Forward-looking statements address future events
and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from
those currently anticipated in such statements. Particular risks applicable to this press release include risks
associated with planned production, including the ability of the company to achieve its targeted production
outline due to regulatory, technical or economic factors. In addition, there are risks associated with estimates of
resources, and there is no guarantee that a resource will have demonstrated economic viability as necessary to
be classified as a reserve. There is no guarantee that additional exploration work will result in significant
increases to resource estimates
Neither Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in policies of
the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
We seek safe harbour