Locke Capital funds Sarama Resources arbitration claim against Burkina Faso

Locke Capital II LLC has agreed to provide funding to Sarama Resources to commence international arbitration proceedings in relation to its investment dispute with the Government of Burkina Faso.

The dispute pertains to a permit (the "Permit") covering the Tankoro Deposit, the focal point of the company's Sanutura Project, which featured a multi-million ounce gold resource.

The company alleges that in August 2023, it received notice from the Minister of Energy, Mines and Quarries of Burkina Faso that its application for the Permit was purportedly rejected, even though it had been approved by the previous Minister nearly two years earlier. The current Minister later stated that the Permit was available for purchase.

Sarama is now preparing to lodge a Request for Arbitration with the World Bank's International Centre for Settlement of Investment Disputes ("ICSID"). It has engaged Boies Schiller Flexner to assist with the dispute.

The litigation financing agreement with Locke provides a four-year non-recourse loan facility of US$4.4 million to cover all fees and expenses related to the arbitration.

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