Tango Mining receives extensions to three Exarro coal mine contracts

Resource-focused group Tango Mining Ltd (CVE:TGV) has extended three of its operation and maintenance coal processing plant agreements in South Africa.

These are the Dorstfontein East, West and Forzando contracts, which have been extended to June, 2020.

They are three Exxaro coal mines, which all lie within the Ogies and Highveld coalfields in Mpumalanga province.

Tango operations at the three collieries consist of over 230 permanent employees, and the agreements collectively call for a minimum target of 6.24mln tonnes of ore to be processed per year for the next three years.

Tango said it had a development plan in place to grow the business using the successful past 19-year model, an established market presence and its proven successful operational reputation in the coal, base and precious metal, and precious stone African mining sector.

In a separate announcement, Tango said it had settled an off-take right regarding the Oena diamond mine with a debt settlement.

It concerns  ATC Enterprises DMCC and is to settle accrued interest, balance due on last tender and the outstanding amount owing for the Oena off-take right for debt totalling $342,895.

Tango has issued over 8.85mn shares at five cents each, which effectively terminates the diamond off-take right with ATC on the Oena property, eliminating the 10% fee payable on the first 2,000 carats of diamond sales.

Tango also said that ATC had converted US$50,000 ($65,000) of its remaining convertible loan into shares at 5 cents a share, fora  total of 1.3mln shares.

ATC has also agreed to extend the term of conversion of its remaining US$200,000 note to December 31, 2017.

Story by ProactiveInvestors