Mining firm Avesoro Resources has concluded a conditional agreement to acquire the Balogo and Youga gold mines in Burkina Faso, for $65.9 million. 

To this end, Avesoro will take over MNG Gold Burkina, Cayman Burkina Mines, MNG Gold Exploration, AAA Exploration and Jersey Netiana Mining, the projects’ owners. Under the contract’s terms, out of the agreed amount, $51 million will be paid via a share issuance and $18.5 million cash.

The deal which is for the firm a "transformational" move, should allow it to add two active mines to its portfolio. These would boost its gold production for this year to 180-190koz (kilo ounces) while 2018’s output will rise 60% to 230koz. 

“The assets will provide Avesoro with geographic diversity within West Africa and are highly complementary to our existing New Liberty mine, significantly increasing Avesoro's gold production,” said Avesoro’s CEO, Serhan Umurhan.

At its New Liberty mine in Liberia, Avesoro Resources expects for the whole year 2017, a production of 70,000oz-80,000oz. 

Louis-Nino Kansoun