Few commodity investors are likely to have the Balkans on their radar as an exciting region. But that could be a mistake! Just last week, the region came back into the spotlight after British-based, also Australian-listed Adriatic Metals (WKN A2JMMA) announced that it was in discussions with Canadian Dundee Precious Metals about a potential takeover offer for Adriatic.
The company thus confirmed speculations in the press and stated that it had granted Dundee limited data access for the due diligence process to facilitate discussions. However, both sides emphasized that it was by no means certain that Dundee would make a formal offer or what such an offer might look like. Nevertheless, Sky News reported that the talks could end with a valuation of around 700 million pounds for Adriatic.
High-Grade Silver, Lead, Zinc Mine in Focus
Adriatic produces silver-lead and zinc concentrate at its main asset, the Vareš silver mine in Bosnia and Herzegovina. The high-grade, polymetallic resources and the strategic location in Europe are likely to have sparked Dundee’s interest.
By the way, just about 80 kilometers east of Adriatic’s property is the Viogor Zanik project of Terra Balcanica Resources (WKN A40DA5 / CSE TERA). This company – in our opinion very exciting – is still in its early stages but has also proven polymetallic mineralization with silver and zinc as well as gold and copper – and incidentally also partially extremely high values of the strategic mineral antimony, which has recently experienced a true price explosion!
Those interested in the Balkan region as an investment target and in – of course riskier – companies at an early stage of development should, in our opinion, put Terra Balcanica on their watchlist, especially as the company is currently starting a new drilling program. In the meantime, we recommend our recent interview with CEO Aleksandar Miskovic as background information:
