Under an agreement with Pangea Resources (TSE), South African-based Anglo American intends to earn a 70% interest in the 100-sq.-km Kahama licence in Tanzania.
The agreement calls for Anglo to spend US$2 million on exploration.
The company, operating through a wholly owned subsidiary, will be able to exploit any deposit it finds by funding a feasibility study.
Anglo has agreed to arrange a major portion of any financing needed to bring a potential mine into production.
A regional geochemical survey by Pangea last year discovered significant gold values. Infill sampling is under way and drill targets should be ready for testing in August.
The property is in the Lake Victoria gold district.
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