15 Oct 2009 07:00
Avocet Mining PLC
OSLO STOCK EXCHANGE LISTING
Avocet Mining PLC ("Avocet" or "the Company") announces its decision to apply for a secondary listing on the Oslo Stock Exchange ("OSE") in addition to its primary listing on AIM, and the appointment of advisors in relation to the application and secondary listing.
Jonathan Henry, Chief Executive Officer, commented:
"Avocet has seen continued interest from Nordic investors following the Wega transaction, and our board believes that providing the opportunity to develop their investment locally through an OSE listing will help us grow our investor base in the best interests of all shareholders. We expect our application to be ready late in 2009, and a listing to occur before the end of the financial year or shortly thereafter."
| For further information please contact: | |||||
| Avocet Mining PLC | Buchanan Communications | Ambrian Partners Limited | J.P. Morgan Cazenove | Arctic Securities | First Securities |
| Financial PR Consultants | NOMAD and Joint Broker | Lead Broker | Financial Adviser | Financial Adviser | |
| Jonathan Henry, CEO Mike Norris, FD Hans-Arne L'orange, EVP Investor Relations & Business Development | Bobby Morse Katharine Sutton | Richard Brown Richard Greenfield | Michael Wentworth-Stanley | Arne Wenger Kim Galtung Døsvik | Stein Hansen Eirik Lilledahl |
| +44 20 7907 9000 | +44 20 7466 5000 | +44 20 7634 4700 | +44 20 7588 2828 | +47 21013100 | +47 2323 8000 |
| www.avocet.co.uk | www.buchanan.uk.com | www.ambrian.com | www.jpmorgancazenove.com | www.arcticsec.no | www.first.no |
Notes to Editors
Avocet Mining PLC ("Avocet" or "the Company") is a mining company listed on the AIM market of the London Stock Exchange (Ticker: AVM). The Company's principal activities are gold mining and exploration in Malaysia (as 100 per cent owner of the Penjom gold mine, the country's largest gold producer), Indonesia (as 80 per cent owner of the North Lanut gold mine and Bakan project in North Sulawesi) and Burkina Faso (as 90 per cent owner of the Inata gold project currently in the latter stages of construction). The Company has a number of other advanced exploration projects in South East Asia and West Africa.
Background to operations
Penjom is Malaysia's largest gold producer and was developed by Avocet after applying modern technology to grass roots exploration in an area of historic alluvial mining. The mine is located in Pahang State, approximately 120 km north of the country's capital, Kuala Lumpur. The mine was commissioned in December 1996 with reserves of 223,000 ounces. Successful resource development means Penjom has produced over one million ounces of gold to date and still has nearly one million ounces of resource. Over the last two years Penjom has expanded its mining and plant capacity with plant throughput increasing from 570,000 to over 700,000 tonnes per annum to compensate for decreasing mined grades.
North Lanut in North Sulawesi, Indonesia, was developed by Avocet from the exploration stage and has produced over 220,000 ounces since it was commissioned in 2004. Avocet purchased an 80 per cent interest in PT Avocet Bolaang Mongondow ("PT ABM"), an Indonesian company holding a 6th generation Contract of Work ("CoW"), from Newmont Mining Corporation in 2002. North Lanut is located within the CoW, which includes exploration and mining rights over approximately 50,000 hectares in an area highly prospective for gold. An Indonesian company, PT Lebong Tandai, owns the remaining 20 per cent. The Company has a number of other advanced development and exploration projects in Indonesia.
The Inata gold project in Burkina Faso, West Africa, was purchased by Avocet as a result of the acquisition of Wega Mining ASA ("Wega Mining") which was completed in June 2009. Inata is currently under construction, with first gold production expected before the end of January 2010, and full steady state production in FY2011. Inata is expected to produce greater than 120,000 ounces of gold per annum over an initial 7 year mine life. Other assets acquired from Wega Mining include exploration licences in Burkina Faso, Guinea and Mali (the most advanced being the Koulekoun gold exploration project in Guinea with a resource of 667,000 ounces), a 58.1 per cent interest in TSX Venture Exchange listed Merit Mining Corp and a 35.6 per cent interest in base metals company, Metallica Mining ASA.
Oslo Stock Exchange
Oslo Børs ASA was founded in 1819 and offers the only regulated markets for securities trading in Norway. Oslo Børs offers a full product range including equities, derivatives and fixed income instruments. By the end of September 2009 there were 230 companies and exchange traded funds listed with market value of approximately US$ 23 billion, with mineral related companies representing a significant proportion of this total.
In March 2009 the Oslo Børs and London Stock Exchange Group entered into a strategic partnership agreement to co-operate across their equities, fixed income and derivatives markets with a view to improving market efficiency and liquidity. As part of the agreement, London Stock Exchange Group will provide Oslo Bors with TradElect for its equities and fixed income markets and the SOLA® trading platform, under licence from TMX Group, for its derivatives markets.