Hummingbird Resources sells further stake in Mali mine business to government

Hummingbird Resources has agreed to sell an extra 10% stake in its Société Des Mines De Komana business to the Mali government for $11 million.

Société holds the Komana Mining Permit, containing the Yanfolia Gold Project, of which Hummingbird owns a 95% holding.

The Mali government will take an overall 20% interest in Yanfolia.

“I believe this is a clear signal of the government's appreciation of the enormous value accretion potential of Yanfolila in the long term,” said Hummingbird’s chief executive Dan Betts.

Professor Tiémoko Sangare, Minister of Mines in Mali, said: “ Yanfolila's transition into a producing asset over the next 12 months will crystallise the value of this important national asset and will make tangible contributions to Mali through the generation of revenue, creation of employment and other ancillary benefits."

Shares in Hummingbird rose 6.25% at 1555 GMT on Thursday.