Avocet Mining : Sale of Resolute Limited to the Balaji Group

Sale of Resolute (West Africa) Limited

to the Balaji Group

Avocet Mining Plc ('Avocet' or the 'Company') announces today that, at the request of the Balaji group of companies (the 'Balaji Group') completion of the sale of Resolute (West Africa) Limited ('Resolute') to the Balaji group, as announced by the Company on 18 December 2017, has been deferred by nine days to 8 February 2018.

On 18 December 2017, the Company announced that it had entered into an agreement to sell all of its assets in Burkina Faso, including the Inata goldmine, together with certain receivables of the Company's group to the Balaji Group for a total consideration of USD 5 million (the 'Sale'). Completion of the Sale was expected to occur on 11 January 2018.

As announced on 11 January 2018, completion of the Sale was deferred to 25 January 2018 and subsequently deferred to 30 January, at the request of the Balaji Group pending its discussions with a creditor of Resolute. Against this background, Balaji has requested a further deferral of completion of the Sale by nine days to 8 February 2018 to be able to finalise an agreement with this creditor.

The terms and conditions of the Share Purchase Agreement, as set out in the announcements of 18 December 2017 and 11 January 2018, have not been materially changed, other than to reflect the deferral of the Completion Date.

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NOTES TO EDITORS

Avocet Mining PLC ('Avocet' or the 'Company') is an unhedged gold mining and exploration company listed on the London Stock Exchange (ticker: AVM.L) and the Oslo Børs (ticker: AVM.OL). The Company's principal activities are gold mining and exploration in West Africa.