TORONTO, ONTARIO - Tsodilo Resources Limited ("Tsodilo" or the "Company") (TSX-Venture Exchange: TSD) is pleased to announce that it has reached an agreement with TBM (Pty) Ltd. ("TBM") to grant royalties on its wholly owned Botswana subsidiary Gcwihaba (Pty) Ltd. ("Gcwihaba") metal licenses (base and precious minerals, platinum group metals and rare-earth elements) projects in consideration of the payment of $500,000 USD.
The package of assets in the Royalty Sale includes:
•the grant of a 0.5% Net Smelter Return or Net Mineral Return on Gcwihaba's seven (7) prospecting metal licenses in northwest Botswana.
The proceeds from this Royalty Sale will be used for exploration and general corporate purposes.
James M. Bruchs, Chairman and CEO of Tsodilo commented: "We are extremely pleased to have signed this agreement with TBM. The agreement represents significant potential revenue for the buyer and an attractive source of funding for Tsodilo, allowing us to fund our exploration activities while still giving Tsodilo shareholders full upside exposure to our projects."
About TMB (Pty) Limited: TBM is a private Botswana based alternative investment firm focused on private equity or royalty investments in the natural resources sectors of agriculture, food, and metals and mining, primarily in the Southern Africa Development Community.
About Tsodilo Resources Limited:
Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for economic diamond, metal deposits and industrial stone at its Bosoto (Pty) Limited ("Bosoto"), Gcwihaba Resources (Pty) Limited ("Gcwihaba") and Newdico (Pty) Limited ("Newdico") projects in Botswana and its Idada 361 (Pty) Limited ("Idada") project in Barberton, South Africa. The Company has a 100% stake in Bosoto (Pty) Ltd. which holds the BK16 kimberlite project in the Orapa Kimberlite Field (OKF) in Botswana and the PL216/2017 diamond prospection license also in the OKF. The Company has a 100% stake in its Gcwihaba project area consisting of seven metal (base, precious, platinum group, and rare earth) prospecting licenses all located in the North-West district of Botswana. The Company has a 100% interest in its Newdico industrial stone project located in Botswana's Central District. Additionally, Tsodilo has a 70% stake in Idada which holds the gold and silver exploration license in the Barberton area of South Africa. Tsodilo manages the exploration of the Newdico, Gcwihaba, Bosoto and Idada projects. Overall supervision of the Company's exploration program is the responsibility of Dr. Alistair Jeffcoate, Project Manager and Chief Geologist of the Company and a "qualified person" as such term is defined in National Instrument 43-101.