Avocet Mining PLC Inata Mine Halted By Illegal Strike (0543Z)

TIDMAVM

RNS Number : 0543Z

Avocet Mining PLC

08 December 2014

08 December 2014

INATA MINE HALTED BY ILLEGAL STRIKE

Avocet Mining PLC ("Avocet" or "the Company") announces that it has halted operations at its Inata mine in Burkina Faso due to an illegal strike.

The strike, which commenced at 10.30 pm on 4 December 2014, follows discussions with workforce representatives regarding labour cost reductions that are essential for Inata to continue operations, especially at times of lower gold prices.

The Company is currently continuing discussions with a committee representing the Inata mine's workforce, and is being assisted by various ministries and departments in the Burkina Faso government in an effort to mediate an amicable resolution of the situation.

The Company will provide further updates in due course.

FOR FURTHER INFORMATION PLEASE CONTACT

 
Avocet Mining  Bell Pottinger     J.P. Morgan                NM Rothschild       Investec Bank 
 PLC            Financial PR       Cazenove                   Financial Adviser   Plc 
                Consultants        Corporate Broker                               Financial Adviser 
David Cather,  Daniel Thöle  Michael Wentworth-Stanley  Roger Ewart-Smith   George Price 
 CEO                                                          Sam Critchlow 
 Mike Norris, 
 FD 
[phone]    [phone]        [phone]                [phone]         [phone] 
 2570           2555               4000                       5424                4180 
 

NOTES TO EDITORS

Avocet Mining PLC ('Avocet' or the 'Company') is an unhedged 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 activities are gold mining and exploration in West Africa.

In Burkina Faso the Company owns 90% of the Inata Gold Mine. Across the Bélahouro district, which includes both Inata and Souma, there is a Mineral Resource of 6.1 million ounces and an Ore Reserve of 0.5 million ounces. The Inata Gold Mine poured its first gold in December 2009 and produced 118,443 ounces of gold in 2013. Other assets in Burkina Faso include eight exploration permits surrounding the Inata Gold Mine in the broader Bélahouro region. The most advanced of these projects is Souma, some 20 kilometres from the Inata Gold Mine, where there is a Mineral Resource estimate of 0.8 million ounces.

In Guinea, Avocet owns 100% of the Tri-K Project in the north east of the country. Drilling to date has outlined a Mineral Resource of 3.0 million ounces, and in October 2013 the Company announced a maiden Ore Reserve on the oxide portion of the orebody, which is suitable for heap leaching, of 0.5 million ounces. As an alternative, the potential exists to exploit the entire 3.0 million ounce Tri-K orebody via CIL processing method.

This information is provided by RNS

The company news service from the London Stock Exchange

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