Extension of Hillside Call Option Agreement

Kavango Resources plc (LSE:KAV), the Southern Africa focussed metals explorer, announces it has agreed with the Sellers of the Hillside Project in Zimbabwe to extend the period for exercise of the option by 90 days.

The Sellers and Kavango entered into call options in respect of the Hillside project in a Call Option Agreement ("The Call Option") dated 25 July 2023, (announced >>> 25 July 2023). The Call Option had an initial term of six months, expiring 24 January 2024.

Based on technical data gathered from exploration of Hillside, including initial core review, Kavango had intended to exercise the option tomorrow.

However, as a result of uncertainty surrounding the impact of recent changes to the Finance Act in Zimbabwe, and specifically the imposition of a mining 'Special Capital Gains Tax', the Sellers and Kavango have agreed to enter into an Addendum to the Call Option to extend the period for exercise of the option by 90 days, to allow the impact of these changes to be reviewed by both parties.

In the meantime, Kavango continues exploration and drilling at Hillside. The Company will release an update on this shortly.