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21 Dec 2009 11:00
Mwana Africa PLC
Sale of stake in Konongo gold exploration asset under option agreement
Receipt of 50m shares in Signature Metals Limited
London, 21 December 2009 Mwana Africa PLC ("Mwana" or the "Company") is pleased to announce that, under the terms of an option agreement signed in May 2009 for the sale of its entire 70% interest in the Konongo gold exploration asset in Ghana to Signature Metals Limited ("Signature"), Signature has exercised its option to acquire Mwana's 70% holding in the project. Accordingly 50 million Signature shares have been issued to Mwana. A further payment of 50 million shares or A$1 million in cash will be paid to Mwana upon delineation of one million ounces of gold in the Measured & Indicated Mineral Resources categories. A final payment of A$3 million in Signature shares or cash will become payable following production of 100,000 ounces of gold from the project.
Following the issue of the consideration shares Signature has 821,101,868 shares in issue. The shares trade on the Australian Securities Exchange and the closing price on 18th December 2009 was A$0.025 per share.
Enquiries:
Donald McAlister
Finance Director Tel: 020 7654 5580
Mwana Africa PLC
Mike Jones / Guy Blakeney Tel. 020 7050 6500
Canaccord Adams Limited
Tom Randell /Anca Spiridon Tel: 020 7726 8400
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