Tag: Deep-South Resources Inc.

Deep-South (DSM) has signed a definitive earn-in agreement with World Class Minerals Venture Ltd. (WCML) to acquire up to 80% of three Cu exploration licenses in the center of the Zambian Copper Belt (ZCB). We view this announcement positively, as it shows that while the company continues to be committed to the reinstatement of the Haib Cu license in Namibia, it is also diversifying its portfolio with highly prospective licenses in one of the most prolific copper belts in the world.

On June 16th, the company announced that it had received notice from the Ministry that its renewal application for its Exclusive Prospecting Licence was denied and had requested a meeting with the Minister to have its case reviewed. Deep-South (DSM) has announced that following its meeting with the Minister of Mines and Energy of Namibia and other Ministry officials two days ago, the company received a notice from the Minister confirming that its application for the renewal of its Licence has been refused. Given this very negative news and the spectre of a protracted legal process as Deep-South contests this decision, investors essentially have two options in our view: they should either be prepared to have patience (although they might never get their investment back) or sell the stock.