AMN - BURKINA FASO: Sarama to acquire Bondi gold deposit

Sarama Resources has entered into an agreement with Orezone Gold Corp to acquire its Bondi gold deposit in Burkina Faso for a consideration of Sarama shares and warrants, plus a future production royalty.

The Bondi deposit has an historical resource of 0.4 Moz and is located on the Djarkadougou property which is adjacent to, and within trucking distance of, Sarama's 2.1 Moz South Houndé project and also the 0.7 Moz Karankasso project JV.

Once the deal is closed, Sarama will have major interests in three advanced projects in the southern Houndé Belt, which will in turn open-up more development options for the South Houndé project including a potential development route where regional deposits are combined to feed a multi-source gold production centre.

Exploration at the South Houndé and Karankasso projects is ongoing and there is potential to increase resource ounces at both these projects.

Sarama views this transaction “as very positive for both Orezone and Sarama, as well as highly accretive for our shareholders on a NAV per share basis. We are also very pleased that a successful and seasoned industry player like Orezone recognises the value of combining the projects, and aligning our efforts through the consolidation of this highly prospective part of the Houndé Belt.”

http://saramaresources.com; http://orezone.com

News courtesy of International Mining