Three Nigerian Exploration Licences Transferred as Chariot Raises Convertible Loan to US$879,195
Chariot Resources has secured additional exploration licence transfers in Nigeria and increased its convertible loan to fund regulatory costs, pushing its Nigerian lithium acquisition closer to completion.
- Three more Nigerian exploration licences approved for transfer
- Mining lease conversion applications accepted for three small-scale leases
- Convertible shareholder loan increased to US$879,195 for licence fees
- Acquisition completion still subject to regulatory approvals and conditions
- Portfolio covers 11 mineral titles across four project clusters
New Licence Transfers Mark Progress in Nigerian Lithium Acquisition
Chariot Resources Ltd (ASX:CC9) has achieved fresh regulatory milestones in its ongoing acquisition of a 66.667% stake in a Nigerian hard-rock lithium portfolio from Continental Lithium Limited. The Nigerian Mining Cadastre Office (MCO) recently approved the transfer of three additional exploration licences; EL 38148, EL 67480, and EL 68365; to C&C Minerals Limited, subject to payment of transaction and registration fees. These licences are part of the Saki project cluster and join three other licences already transferred earlier this year, reinforcing the steady march toward acquisition completion.
Separately, the MCO granted a two-year renewal for Exploration Licence EL 35506 (Fonlo – Main, Kwara State), extending its validity from October 2026. This renewal safeguards the tenure of one of the portfolio’s key assets while the company navigates the regulatory landscape.
Mining Lease Conversion Applications Underway
Chariot and Continental have also submitted applications to convert three Small-Scale Mining Leases (SSML 36058, SSML 36039, and SSML 42553) into full mining leases, a step accepted by Nigeria’s Ministry of Solid Minerals Development. While conversion remains subject to regulatory approval, successful grants would enable future mining operations in these areas. However, any mining activity hinges on multiple factors including acquisition completion, technical studies, funding, and compliance with ASX and JORC standards.
Convertible Loan Increased to Support Regulatory Costs
To fund licence transfers, renewals, and mining lease conversion fees, Chariot has increased its convertible shareholder loan to US$879,195, up from prior commitments. This loan is structured to convert into shares of C&C Minerals upon satisfying licence-related conditions precedent or otherwise be repaid as debt. To date, Chariot has advanced over US$379,000 with a further US$229,500 already disbursed under this arrangement, which aligns with the binding share sale agreement terms.
The acquisition remains conditional on satisfying or waiving remaining regulatory and contractual requirements. Chariot continues to coordinate closely with Continental and Nigerian authorities to meet these conditions and will update the market on material progress.
Strategic Importance of the Nigerian Portfolio
The Nigerian lithium portfolio spans approximately 257 square kilometres across four project clusters; Fonlo, Gbugbu, Iganna, and Saki; in Oyo and Kwara States. Comprising eight exploration licences and three small-scale mining leases, it represents one of the largest hard-rock lithium holdings in Nigeria, a country with a history of artisanal lithium mining. This acquisition complements Chariot’s U.S.-based lithium assets, including projects in Wyoming, Nevada, and Oregon.
With lithium demand underpinning the global transition to electric vehicles and renewable energy, Chariot’s Nigerian assets could prove strategically valuable. Yet, the path to production involves navigating complex regulatory frameworks and securing funding, underscoring the importance of the recent licence transfer approvals and loan funding increases.
Bottom Line?
While regulatory progress and funding advances bring Chariot closer to closing its Nigerian lithium acquisition, the final hurdles remain complex and timing uncertain.
Questions in the middle?
- When will the remaining licence transfers and mining lease conversions receive final regulatory approval?
- How will Chariot finance further development and exploration post-acquisition completion?
- What impact will the evolving Nigerian regulatory environment have on project timelines and costs?
