Avesoro Resources Inc. has completed its acquisition of the Youga gold mine and Balogo gold mine from Avesoro Jersey Ltd. The company has also concurrently completed the previously announced placing of new common shares, which has raised approximately £15.2 million (approximately US$20 million).
This completed acquisition adds two producing mines to Avesoro’s portfolio, with operations in both Liberia and Burkina Faso.
Serhan Umurhan, CEO of Avesoro, commented: “I am delighted to announce the completion of the acquisition of Youga and Balogo goldmMines from Avesoro Jersey Limited. Youga and Balogo will strengthen and diversify our portfolio within West Africa and will be highly complementary to our existing New Liberty mine.”
“This has been a significant year for the Company and one of transition. New Liberty has been stabilised and now stands to produce between 70 000 – 80 000 oz this year, alongside the 110 000 oz to be produced during 2017 at Youga and Balogo, with further production growth expected next year. A major factor contributing to the turnaround at New Liberty has been the in-sourcing of multiple business functions resulting in substantial long-term cost savings and improvements in productivity which have resulted in positive EBITDA performance each quarter this year,” continued Umurhan. “With the completion of the acquisition and resulting growth in our portfolio, the Company will end the year having taken a significant step forward in achieving its stated plan to become a premier mid-tier African gold producer.”