Avocet Mining Sells Hounde Group Of Licenses To Avion Gold

5th Jul 2010 07:36

LONDON (Dow Jones)-- Gold mining company Avocet Mining PLC (AVM.LN) said Monday it and Avion Gold Corp. (TSXV: AVR) have executed a legally binding definitive agreement in relation to the transaction announced on Jan. 29 pursuant to which Avion has agreed to acquire from Avocet a 100% interest in the Hounde group of licenses in Burkina Faso. MAIN FACTS: -In order to acquire the Hounde Licenses, 10.3 million shares of Avion will be issued to Avocet and held in escrow pending completion of the acquisition remains subject to certain conditions. -The consideration shares of Avion will at closing represent 3% of Avion. -Disposal of Hounde licenses to Avion allows Avocet to focus on our aggressive drilling program at Inata and on the Belahouro group of licenses. -Shares of Avocet on Friday closed at 120 pence, valuing the company at GBP235.8 million. -By Tapan Panchal, Dow Jones Newswires. Tel +44(0)207-842 9448, [email protected] (END) Dow Jones Newswires July 05, 2010 02:36 ET (06:36 GMT)