AMN - CÔTE D'IVOIRE/MALI: Kodal Minerals acquires IGS

Kodal Minerals has completed its acquisition of 100% of International Goldfields (Bermuda) Ltd (IGS), which controls a portfolio of highly prospective gold properties in Côte d'Ivoire and Mali.

Highlights

-          Portfolio includes eight mineral licences and two licence applications covering a collection of highly prospective gold exploration targets in Côte d'Ivoire and Mali on the West African Birimian Greenstone Belt

-          Existing joint venture and farm-in agreements on four licence areas with two leading producing gold companies, Newcrest Mining and Resolute Mining, with an aggregate exploration spend of up to $4.7 million

-          Newcrest has a farm-in agreement to spend $1.7 million to earn a 75% interest on the Dabakala gold project in Côte d'Ivoire

-          Resolute has the right to earn up to a 75% interest over two concessions and one concession application in Côte d'Ivoire through expenditure of $3.0 million over four years

-          Bernard Aylward, experienced geologist with proven track record of mine discovery, appointed as CEO

-          Ongoing strategy in west Africa of acquiring prospective ground, employing low cost exploration methods to highlight potential and seeking to develop the projects through joint venture partnerships

-          Defined work program for advancing current portfolio in West Africa of 1,845 sqkm of licence area and the existing assets in Norway, while continuing to identify and appraise additional opportunities

-          Fundraising of £680,000 (before expenses) completed to fund development activities and working capital.

Kodal Minerals chairman David Jones says: “The gold portfolio provides us with exposure to a proven gold district in West Africa that contains a number of multimillion ounce mining operations. The joint ventures already achieved with Resolute and Newcrest are a validation of the quality of the ground selection and of our strategy. We are looking forward to working with someone of Bernard’s proven ability and furthering our business model of identifying projects with potential and sourcing experienced and well-resourced mining operators as joint venture partners to drive their development.”

Bernard Aylward says: “I am looking forward to assisting in the diversification strategy and continuing the strategy of acquisition with early low cost exploration. The projects generated to date are of a quality to have attracted partners with proven gold pedigrees who have agreed to invest up to $4.7 million in exploration and development finance, allowing us to free carry on the potential upside. We look forward to advancing our activities across our jurisdictions and building significant value for shareholders.”

www.kodalminerals.com

News courtesy of International Mining