On October 11, 2007, TEAL Exploration & Mining Incorporated announced the conclusion of a partnership with EVI Mining Company Limited in Namibia. The transaction between TEAL and EVI comprises the intended subscription by EVI to an initial 10% of the share capital in Avdale Namibia (Proprietary) Limited, with an option to acquire a further 5% following the completion of a definitive feasibility study assessing the viability of gold mining at the Otjikoto Gold Project. The initial subscription price is US$5.5 million, all of which will be used to advance the ongoing exploration drilling program and to upgrade and expand the inferred mineral resource at Otjikoto, estimated at 1.76 million ounces of gold, to higher confidence levels. The subscription funds will also be directed towards completing a pre-feasibility study on the project.
Al Gourley, Thomas Wexler and Dimitri Cavvadas of Fasken Martineau advised TEAL in this transaction.