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Acacia Mining satisfies conditions precedent for South Houndé earn-in

8th December 2014

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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TORONTO (miningweekly.com) – West Africa-focused gold explorer Sarama Resources on Monday reported that Acacia Mining (formerly African Barrick Gold) had satisfied the conditions precedent of an agreement that would see Acacia earn a 70% interest in the South Houndé project, in Burkina Faso.

Under the terms of the agreement, Acacia could earn up to a 70% interest in the project by satisfying certain conditions. These included funding earn-in expenditures of up to $14-million over a four-year earn-in period and the right to acquire an additional 5% interest, for a total 75% interest in the project, after declaring a minimum mineral reserve of 1.6-million ounces of gold.

To this end, Sarama had received payment of $1-million from Acacia and the TSX-V had approved the transaction to close.

The South Houndé project comprised seven contiguous exploration licences spanning 814 km2.

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Edited by Tracy Hancock
Creamer Media Contributing Editor

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