LONDON (ShareCast) - (ShareCast News) - Stratex International's Djibouti operation, Thani Stratex Resources Limited (TSRL), had good news on Thursday, securing $1.25m (£900,000) of new funding by way of a non-repayable and interest-free convertible loan from NutureEx.
The AIM-traded exploration and development company focused on gold and base metals said the new funds would allow TSRL to proceed with an initial drill programme on its licence areas in the Republic of Djibouti.

Stratex had a 40% interest in TSRL through a previous $1m investment.

The funding from NurtureEx would cover 4,000 metres of drilling, Stratex's board confirmed, which would initially focus on the Pandora vein system.

Drilling would also target the new Asaleyta prospect located 10 miles north of Pandora, where recent work had defined disseminated and vein-hosted gold mineralisation in rhyolite domes.

"We are delighted that TSRL has secured this investment which highlights the quality of the Djibouti targets, even in this depressed market," said Stratex and representative on the board of TSRL, Christopher Hall.

He said new gold districts, not just new gold projects, were required for the future of the mining industry, and TSRL was at the forefront of this exploration with a strategic land package in the Afar Epithermal Province.

"Success in Djibouti will transform the upside potential for TSRL in the region, where it retains full control of the rest of its highly prospective licences. We look forward to updating the market on its progress in due course," he added.

The company's board said NurtureEx had the right to fund a further $1.25m for an additional 4,000 metre drilling programme, and - should it take up that right - its total investment would convert into a 50% interest in TSRL's wholly-owned local entity that holds the concessions, Thani Stratex Djibouti.

However, if NurtureEx decided not to take up its right to provide further funding, it would have the option to convert its initial investment into TSRL shares at $2 per share.

As part of the funding exervice, both Stratex and Thani agreed to capitalise amounts owed to them by TSRL. Stratex's interest in TSRL had been reduced from 40% to 38.4% as a result.

Should NutureEx decide not to take up its right for further funding, and instead convert its initial investment into TSRL shares, its holding would be further diluted to 34.5%. the board said.

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