Randgold Resources Sells Stake In Kiaka Gold Project To Volta

Randgold Resources (RRS.LN), a mining company, said Tuesday that it has signed a letter of intent with Volta Resources Inc (TSX:VTR) to sell its entire interest in the Kiaka gold project in Burkina Faso to Volta for an aggregate cash consideration of C$4 million and an aggregate share consideration of 20 million common shares in Volta, to be paid and issued over a period of 24 months following the closing of the disposal.

MAIN FACTS:

-The Toronto-based and TSX-listed Volta is a mineral exploration company with a strong focus on gold properties in West Africa, where it has active programmes in Burkina Faso, Ghana and Mali.

-Randgold chief executive Mark Bristow said that with the expansion of its existing Loulo complex, construction of its new mine at Tongon and its advanced Massawa and Gounkoto projects, the company already had a full development pipeline.

-Bristow noted that following the completion of the transaction, Randgold Resources would be a significant shareholder in Volta and would therefore retain its involvement with Burkina Faso and the Kiaka project.

-By London Bureau, Dow Jones Newswires; Contact Ian Walker; [phone]; [e-mail]