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RNS Number : 7710Z

Avocet Mining PLC

05 September 2018

London, 5 September 2018

Tri-K update

Avocet Mining Plc ("Avocet" or the "Company") announces today that it has transferred 30 per cent of its Tri-K gold project in Guinea to Managem SA ("Managem"), a Moroccan mining group listed on the Casablanca stock exchange.

On 10 October 2016, Avocet announced that it had entered into an agreement with Managem, under which Managem would ultimately hold an interest of 70 per cent in the project conditional upon (a) an initial payment of US$4 million for 40 per cent of the project and related shareholder loans, (b) the completion of a US$10 million work programme, and (c) the production of a bankable feasibility study for an operation with a reserve of at least 1 million ounces.

On 22 May 2017, Avocet received from Managem US$4 million for 40 per cent of the project and related shareholder loans as part of the first closing.

On 3 August 2018, Managem sent the Company an overview of the work programme, the costs incurred as part of that programme, and a feasibility study indicating a reserve of approximately 1.1 million ounces (which is now available on the Company's website).

The Company has now transferred the remaining 30 per cent of the Tri-K project and the related shareholder loans to Managem. However, a discussion is ongoing between the parties regarding a significant overspend of the costs incurred as part of the work programme.

FOR FURTHER INFORMATION PLEASE CONTACT

 
Avocet Mining PLC       Blytheweigh 
                         Financial PR 
Boudewijn Wentink, CEO  Tim Blythe 
 Yolanda Bolleurs, CFO   Camilla Horsfall 
                         Megan Ray 
+44 20 3709 2570        +44 207 138 3204

NOTES TO EDITORS

Avocet Mining PLC ("Avocet" or the "Company") is a gold mining and exploration company listed on the London Stock Exchange (ticker: AVM.L) and the Oslo Børs (ticker: AVM.OL). The Company's principal activity is gold exploration in Guinea, West Africa: the Tri-K project.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

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