Premier African Minerals turns down further acquisition of Casa Mining

Premier African Minerals, an AIM listed mining exploration and production company, has decided not to exercise its option to acquire up to 30% in Casa Mining Limited.

After acquiring a 4.5% interest in Casa Mining on 18 October 2016 the miner had an option to increase its interest up to 30% within a 60 day period.

Chief executive George Roach said: "Our current market capitalization does not reflect the value of the underlying assets and accordingly we will not proceed with a direct financing to pursue the interest available in Casa. We remain strongly supportive of Casa and believe the project has great value and would generate significant value for Premier shareholders. I am pleased that Premier and Casa have agreed to work cooperatively to attempt to find a solution to both the consolidation of the Casa interests and appropriate finance to fully develop the project."

The share price rose 10.55% at 0939 GMT on Friday.