Sovereign Metals (ASX:SVM) secured a collaboration agreement with World Bank Group member International Finance to advance the Kasiya project development in Malawi, according to a Tuesday filing with the Australian bourse.
International Finance will support aligning the project with its environmental, social, and governance standards under the deal, supplementing Rio Tinto's (ASX:RIO) input for the development of the environmental and social impact assessment, the filing said.
Additionally, International Finance will have rights to finance the project, subject to the Rio Tinto's rights under the investment agreement, per the filing.
Sovereign Metals shares rose 2% in morning trade on Tuesday, while Rio Tinto shares were up 1%.
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