AXMIN Inc. (TSX VENTURE:AXM) has reported that it has agreed to acquire the minority interest in the Nimini Hills East and West licences held by Eldorado Gold Corporation and Flaxman Corporation NV, thereby increasing AXMIN's ownership in the Project to 100%.
As consideration for this acquisition, subject to TSX Venture approval, AXMIN will issue 4,388,370 common shares of AXMIN, equating to C$800,000 based on a 20 trading day VWAP (volume weighted average price) prior to January 28, 2011, the effective date of the acquisition agreement.
President and CEO of AXMIN, Mr. George Roach, comments, "AXMIN is extremely pleased with the acquisition of this minority interest at a favourable price. We now believe to be in a position to unlock the exceptional value of this under-explored asset in a country that is being viewed more and more favourably by the international financial community. Given that the market currently attributes minimal value to this asset, AXMIN will review the options available with a view to further increase the measured and indicated resources previously identified, as well as explore the many targets delineated over the last few years. However, I would emphasize that AXMIN's primary focus will continue to ensure that the momentum gained in advancing the Passendro Gold Project progresses to its next milestone by securing debt financing, thereby further demonstrating to our shareholders our ability to bring Passendro into production."
Source: AXMIN Inc.