PVW Resources Expands Portfolio with Acquisition of Rare Earth Element Projects in Brazil
PVW Resources (ASX:PVW) has recently announced a significant milestone in its growth strategy with the signing of an agreement to acquire Brazil-registered Scanty Mineraco, which holds a portfolio of rare earth element projects in Brazil. This acquisition will see PVW gain access to 11 projects covering 952km2 across four key areas in Brazil, including the Poços De Caldas Alkaline Complex and the Bahia Rare Earth Province.
In order to secure this deal, PVW has paid an exclusivity fee of $50,000 to Scanty and will issue 40 million shares and 120 million performance rights, as well as reimburse $600,000 in expenses incurred to date. Additionally, PVW may pay $1.5 million to Scanty following the completion of certain conditions. Once finalized, Scanty will enter into a royalty deed with the vendors for a 1.5% net smelter return royalty.
According to Non-executive Chairman George Bauk, this acquisition represents a strategic opportunity for PVW to establish a presence in the global rare earth industry. The company views Brazil as a stable and highly prospective region for rare earth elements, with the Capão Bonito and Sguario projects identified as top priorities within the portfolio.
PVW has entered into a trading halt pending further announcements related to this acquisition, with expected completion of due diligence and validation of results by the end of the calendar year. This move marks a significant step forward for PVW Resources as it continues to expand its project portfolio in key mining jurisdictions.
