Luansobe Licence Update
Galileo Resources Plc announced that its Small-Scale Mining Licences for the Luansobe Copper Project, numbers 34543/HQ/SML and 34545/HQ/SML, no longer appear on the Zambian Mining Cadastre portal. The company's local partner, Statunga Investments Limited, has lodged a formal complaint and initiated legal proceedings, including an injunction against Mopani Copper Mines, to protect Galileo's 75% interest earned through a JV Agreement dated 30 December 2021. Discussions regarding commencement of operations have been put on hold due to this development, resulting in significant potential loss of value.
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The Board of Galileo Resources Plc wishes to advise that the Small-Scale Mining Licences numbers 34543/HQ/SML and 34545/HQ/SML (hereinafter collectively referred to as "The Licences") and which together form the Luansobe Copper Project ("Luansobe") no longer appear on the Zambian Mining Cadastre portal. Upon discovery of this irregularity, our local partner and the entity to which the Licences were issued, Statunga Investments Limited ("Statunga") have, amongst other actions, lodged a formal complaint with the relevant authorities, dated 12th June 2026, which is currently awaiting a response from the Minerals Regulation Commission. Galileo's interest in Luansobe is held through a JV Agreement dated 30 December 2021 through which Galileo has satisfied the conditions to earn it a 75% interest.
Legal Proceedings
Statunga has formally challenged this cancellation in a competent Court of Zambia. The matter has been filed and was submitted on 30 June 2026, with a ruling expected from the Court. Additionally, Statunga has commenced legal action against Mopani Copper Mines, a third party contesting ownership of the Licences, and has successfully obtained an Injunction preventing Mopani from trespassing on the licence area or interfering with the title and quiet enjoyment of the Licences pending the final determination of the matter.
The Board remains firmly of the opinion that there are no grounds for the termination of these Licences. As such, the Board is committed to pursuing this matter vigorously and exploring all possible legal avenues including but not limited to expropriation proceedings, and to ensuring justice is served and our rights are maintained and our investment is protected and restored.
Investment Potential
The Company and Statunga were in advanced discussions with a number of parties regarding commencement of operations, partnerships and other value adding mechanisms. The notification caused all discussions to be put on hold thus resulting in significant loss of potential value-add for all stakeholders.
The Board will keep shareholders informed of any material change in status as these legal processes unfold.
You can also follow Galileo on Twitter: @GalileoResource
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.