BVI Company News

AXMIN Inc., a Canadian exploration and development company focused on Central and West Africa, announced its agreement with Ferrum Resources Ltd., a private British Virgin Islands-incorporated company. By terms of this agreement, AXMIN has consented, as contemplated under the Laws of the Central African Republic (CAR), that the BVI company may lodge prospecting rights applications for Iron Ore over the same areas already held by AXMIN for gold mineralisation. 

It has been agreed that, on the date when the government of CAR grants to Ferrum an Exploration Permit covering Iron rights only, AXMIN will receive an assignable 25% participating interest in the Topa Iron Ore deposit that will be free carried for the first US$4 million.

President and CEO of the Canadian company said in his comments, “We believe, that should the Ferrum applications be granted, AXMIN may, should it be deemed appropriate or necessary, have an opportunity, to realize significant early value from this participation right. This could help AXMIN avoid any further necessity to raise equity funds prior to finalization of its gold mine development funding, expected to be completed in mid-2011.”

The state-owned company of Iraq, Maritime Transportation Co., has signed a deal with Global Refinery, an international unit of a British Virgin Islands-incorporated Saracen Trade and Investment Inc. The agreement is for joint operation of 66 ships, and is an important step to restore the country’s cargo fleet, which was ravaged during the war with Iran in 1980-1988 and Gulf War’s attacks in 1991. Currently Iraq has only two cargo ships and four oil tankers in its ownership.

By words of the head of Iraq company Ismat Jiad, the five-year deal with Global Refinery, which is part of the BVI company, will help the country develop its maritime business and train merchant crews, and will give Iraq the opportunity to develop its infrastructure and business.

The Iraq official also said that the fleet with transport goods to and from the country will work mainly with the Iraqi government.

BVI-registered mining company CIC Energy Corp. announced that a shareholders’ agreement was signed by CIC International (Barbados) Corp., which is a wholly owned subsidiary of CIC Energy, and GCL (Botswana) Limited, a subsidiary of GCL Projects (Botswana) Limited. GCL Projects is an indirect wholly owned subsidiary of Golden Concord Group Limited. CATIDC Power Pty Ltd., a subsidiary of the China-Africa Trade & Industry Development Corporation, is a minority shareholder of GCL Botswana.

The Shareholders’ Agreement between BVI company’s subsidiary and GCL (Botswana) Limited relates to the Mookane Domestic Power Project (MDPP). Under the agreement, CIC International will be the owner of  30%, and GCL Botswana will own 70% of a new holding company called GCL-CIC Mookane Power Holdings Corp., which will hold the equity on the two Botswana project companies that will develop the MDPP. 

Affiliates of GCL will build and operate the 300 MW (gross) MDPP power station and the associated coal mine and project infrastructure that will be located in Botswana, at the Mmamabula coalfield. CIC Energy will be paid a development fee and will be reimbursed for its historical costs related to the MDPP. The BVI corporation will transfer coal resources of approximately 200 million tonnes to GCL (Botswana) Limited that will build the coal mine for the MDPP.

The estimated time to complete construction of the MDPP is approximately 26 months from the start of the full construction activities. Greg Kinross, President of CIC Energy, said that the project will be fast tracked to deliver electricity in the middle of 2013.

Mr. Kinross said in his comments that, beyond the MDPP, there is potential for future co-operation with GCL on CIC Energy Export Coal Project and future power plant expansions. The BVI company is seeing Golden Concord as a strategic partner in the future growth.