Avocet Mining PLC Prospectus December 2011

c105718pu010 Proof 5: 7.12.11_13:34 B/L Revision:
Avocet Mining’s strategy is to achieve continuous improvement at all of its operations while achieving
growth organically through the development of its existing West African assets and the acquisition of
additional assets. Acquisitions will be considered only where the Board believes there is a compelling
case for increased long term shareholder value.
2. Key strengths
The Directors believe Avocet Mining has established key strengths in the following areas:
* its ownership of a fully operating gold mine;
* an exploration pipeline;
* the geology in which it holds licences;
* a proven management team; and
* its strong financial profile.
3. Mineral Resources and Ore Reserves
The tables below set out the Mineral Resources and Ore Reserves at the Company’s operating mine,
Inata and are extracted from Part XII ‘‘Mineral Experts’ Report’’.
Table 1: Inata Mineral Resources estimate at 30 June 2011
Gross
Net Attributable
Tonnes Au Grade
Contained
Ounces Tonnes Au Grade
Contained
Ounces
(g/t)
(g/t)
Measured 17,672,000 1.72 979,600 15,903,000 1.72 881,600
Indicated 36,101,000 1.35 1,561,800 32,481,000 1.35 1,405,600
Measured and
Indicated 53,772,000 1.47 2,541,400 48,384,000 1.47 2,287,300
Inferred 17,663,000 1.45 822,900 15,894,000 1.45 740,600
Total 71,435,000 1.46 3,364,300 64,278,000 1.46 3,027,900
Table 2: Inata Ore Reserves estimate at 30 June 2011
Open Pits Gross Net Attributable
Tonnes Grade
Contained
Ounces Tonnes Grade
Contained
Ounces
(Au g/t)
(Au g/t)
Proven 14,368,000 1.92 887,000 12,931,200 1.92 798,300
Probable 8,782,000 2.00 564,000 7,903,800 2 507,600
ROM Stockpiles
Proven 494,000 1.5 23,900 444,600 1.5 21,510
TOTAL 23,644,000 1.93 1,474,900 21,279,600 1.93 1,327,410
4. The OSE, AIM and the reasons for moving to the Official List
Avocet Mining was originally admitted to the Official List of the London Stock Exchange in 1996
and cancelled its listing to be quoted on AIM (ticker AVM.L), part of the London Stock Exchange,
in July 2002. Through the takeover of the Oslo listed company, Wega Mining, in June 2009, the
Company acquired a significant proportion of Scandinavia based Shareholders. The Company
therefore subsequently listed on the OSE (ticker AVM.OL) and began trading there with a primary
listing in June 2010.
The Board believes that the Company has now reached a size and stage of maturity at which the
Official List will be the most appropriate platform for future growth. The Directors believe that the
move to a premium listing will result in the Company benefiting from the increased potential investor
base, a higher profile and an increase in the liquidity of its Ordinary Shares. Upon Admission the
Company will cancel its Ordinary Shares from trading on AIM and intends to convert its listing on
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