Ovoca has completed the purchase of Swedish exploration company Klippen Guld from Minmet.
Ovoca will issue as consideration for the acquisition 11 million new Ovoca shares to Minmet, representing approximately 22.5% of the enlarged share capital of Ovoca.
Minmet will be represented by two directors who have been co-opted onto the board of Ovoca, mining expert Jeremy Metcalf and geologist Jeremy Martin.
Minmet will also supply logistical and administrative support to Ovoca's Swedish operations from its base at the Bjorkdal gold mine, near Skelleftea, in Northern Sweden.
The purchase opens up the opportunity for Ovoca to actively explore for gold in an area of Northern Sweden termed the 'gold line' where it now holds a number of promising concessions including Klippen and Krockliden.
Ovoca chief executive Richard O'Shea said: 'We are encouraged by the geological potential of the area, as evidenced by Dragon Mining NL's receipt of approval to proceed with the development of their Svartiliden gold property, adjacent to Ovoca's Krockliden concession, one of the licences purchased by Ovoca.'
