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- Myanmar Metals (MYL) has made clear indications to withdraw its presence in Mynamar as geopolitical tensions in the region fail to subside
- As the Myanmar coup threatens the company’s long- and short-term presence in the country, MYR has elected to pull the pin on two of its prospective projects
- The company chose to withdraw its proposed copper-gold Wuntho Project acquisition and will pull out of its Tarlay gold exploration efforts entirely
- Meanwhile, Myanmar Metal’s remaining interest in the Bawdwin project is still uncertain, and the company is continuing to evaluate its strategic options
- MYR has been in intermittent voluntary suspensions since a state of emergency was declared in Myanmar and last traded at 7 cents per share
Myanmar Metals (MYL) has made clear indications to withdraw its presence in Mynamar as geopolitical tensions in the region fail to subside.
The company said it is “not prudent” to expend further funds on long lead time exploration projects and has therefore decided not to continue with its proposed
acquisition of the Wuntho Project and will withdraw from its Tarlay project entirely.
It comes amid MYL’s strategic review of its assets and operations in Myanmar since the state of emergency was declared on February 1, in a bid to cover all available options in the current circumstances.
As a result, MYR has elected to pull the pin on Tarlay gold exploration operations, fronting the US$390,000 (approximately A$503,295) balance of Locrian Precious Metal’s acquisition costs and the associated US$90,00 (roughly A$116,145) break fee.
The company had entered a binding agreement to acquire the copper-gold porphyry exploration Wuntho Project back in January.
MYL still retains its 51 per cent participating interest in the Bawdwin
project and says it will continue to evaluate all strategic options to deliver value
from the Bawdwin Project to shareholders.
Discussions with the Ministry of Natural Resources and Environmental Conservation are said to be ongoing.
The company has been in back-to-back trading suspensions since the beginning of February as the ongoing Myanmar coup shrouds the near- and longer-term prospects of MYL’s operations.
Myanmar Metals last traded at 7 cents per share.
