TORONTO, Oct. 14 /CNW/ -- Mano River Resources Inc. ("Mano" or the "Company"), the TSX Venture Exchange ("TSX-V") and AIM listed exploration to production company focused on gold and iron ore in West Africa, is pleased to announce the completion of its merger with African Aura Resources Limited ("AAR", TSX-V:AAZ) (the "Transaction").
- AAR shareholders received 1.57 shares in Mano for each share held
- Mano consolidated its enlarged issued share capital on a 1 new share
for 8 existing shares basis
- Mano changed its name to African Aura Mining Inc ("African Aura")
- African Aura to trade on AIM (AAAM) and on TSX-V (AUR)
- Having been acquired by Mano, AAR shares have been delisted from
- David Netherway (Non-Executive Chairman) and Steven Poulton (Non-
Executive Director) appointed to enlarged board of African Aura
- Updated company website at www.african-aura.com
The Transaction was structured as a merger under the corporate laws of the British Virgin Islands ("BVI"), in accordance with the combination agreement dated 30 June 2009 between AAR and Mano. AAR has merged with MANAAR Limited, a wholly-owned BVI subsidiary of Mano. AAR shareholders received 1.57 shares of Mano for each common share they held in AAR, provided that no fractional shares of Mano were issued.
After closing of the Transaction, Mano undertook a 1 for 8 share consolidation (one new post-consolidation share for every 8 pre-consolidation shares) and changed its corporate name to "African Aura Mining Inc.". Post merger and post share consolidation African Aura has an issued share capital of 52,884,456 shares on an undiluted and 60,487,568 shares on a fully diluted basis. The shares of African Aura will trade on the TSX-V and AIM markets under the symbols AUR and AAAM, respectively. In connection with the Transaction AAR shares have been delisted from the TSX-V.
Post merger strategy
African Aura Mining Inc ("African Aura") will focus on creating value from its advanced portfolio of gold and iron assets:
- 1.4 million ounce New Liberty gold (NI 43-101, 13.533Mt measured and
indicated 3.18 g/t Au)
- A pipeline of multiple hard rock gold deposits within truckable
distances of New Liberty
- 1.08 Bt at 37.6% iron at Putu, under joint venture with Severstal
- 12km long Nkout iron project, grab samples averaging 54% iron along
a 5km section
- Resource drilling at Batouri gold project and portfolio of Archaean
and Birimian gold prospects
- Exploration of Uranium and Rare Earth Element prospects
The initial focus of African Aura will be on creating value in Liberia by advancing the 1.4Moz New Liberty gold project in towards production (targeting 100,000 ounces per annum) and resource drilling of its satellite deposits (including Weaju, Gondoja and Sillver Hills) and the completion of a 27,000m drilling programme to enlarge the resource of the 1.08bt Putu iron ore project. In parallel African Aura will continue the cost effective exploration of its Nkout iron ore project and portfolio of gold and uranium projects in Cameroon. Where appropriate, cost and risk sharing joint ventures will be undertaken and further merger and acquisition opportunities in sub-Saharan Africa will continue to be assessed as part of the merged company's broader long term strategy to become a leading resource company in Africa with robust gold and iron ore divisions.
As part of the Transaction David Netherway has been appointed Independent Chairman of the board of Aura and Steven Poulton has been appointed as an independent director.
David Netherway is a mining engineer with over 30 years of experience in the mining industry and is the CEO of Shield Mining Ltd., an Australian listed gold exploration company. David was involved in the construction and development of the Iduapriem, Siguiri and Kiniero gold mines in West Africa and has mining experience in Africa, Australia, China, Canada, India and the former Soviet Union. David served as the CEO of Toronto listed Afcan Mining Corporation, a China focused gold mining company, that was sold to Eldorado Gold in 2005. David has also held senior management positions in a number of gold mining companies, including Golden Shamrock Mines, Ashanti Goldfields and Semafo Inc. He is currently the Chairman of GMA Resources plc and a director of the KazakhGold Group and ALTUS Resource Capital Ltd.
Steven Poulton holds an honours degree in Geology (Southampton) and a masters degree in Mining Geology (Camborne School of Mines). He is the CEO and co-founder of private resource investment group ALTUS Strategies Ltd and is a director of ALTUS Asset Management Ltd, a subsidiary and the investment manager of Altus Resource Capital Ltd (LSE: ARCL). Steven worked for Mano from 1998 to 2005. In 2002 he co-founded AIM listed Ariana Resources (AIM: AAU) and was its Chief Executive between 2004 and 2007. In 2004 he was the founder of AAR which listed on the TSX-V in 2008 and through its merger with Mano in 2009 created African Aura (TSX-V: AUR & AIM: AAAM). He is a non-executive director of diamond producer Stellar Diamonds Ltd, an independent subsidiary of African Aura.
About African Aura Mining Inc.
African Aura is an established West African exploration and development company with a primary listing on the TSX-V (AUR) and a secondary listing on London's AIM (AAAM). African Aura is focused on the development of world-class iron ore and gold deposits in highly prospective, under explored countries of sub-Saharan Africa. The Company has a highly motivated and experienced team with a record of discovering mines and taking projects through development and into production in Africa.
African Aura's assets include the New Liberty gold deposit and the Putu iron ore project, both in Liberia and a 59% interest in diamond producer Stellar Diamonds Ltd. A pioneer in West Africa, African Aura has attracted excellent strategic partners always with the objective of preserving or enhancing shareholder value. For further information on African Aura you are invited to visit its website at www.african-aura.com, or SEDAR's website at www.sedar.com, or contact one of the following:
This press release includes certain forward-looking statements. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding the Transaction and future plans and objectives of African Aura are forward-looking statements that involve various known and unknown risks and uncertainties as well as other factors. Such forward-looking statements are subject to a number of risks and uncertainties that may cause actual results or events to differ materially from current expectations, including delays in obtaining or failure to obtain required regulatory approvals. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Any forward-looking statements speak only as of the date hereof and, except as may be required by applicable law, African Aura disclaim any obligation to update or modify such forward-looking statements, either as a result of new information, future events or for any other reason.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accept
responsibility for the adequacy or accuracy of this release.