Kentor Gold Limited announced that it has negotiated a nine month exclusive option to acquire the remaining 10% interest held by Aurum Mining plc in the Andash Gold Copper Project in the Kyrgyz Republic.

Once the option has been exercised, it will bring Kentor Gold’s interest in the Andash Project to 90%, the remaining 10% being held by a local Kyrgyz company, Invest centre Talas.

During the option period, Kentor Gold can choose to exercise the option at any time and pay USD 1.8 million to acquire the 10% interest currently held by Aurum. The option period may be extended for a further period of six months by the payment of USD 150,000.

As consideration for the initial option period, Kentor will be releasing Aurum from the representations and warranties made in the purchase contract for the initial 80% of Andash.

Mr Simon Milroy MD of Kentor Gold said that “This option will allow our shareholders to benefit from a greater proportion of the Andash project. I am confident that the interim government is taking all steps necessary for the establishment of a legal and democratic government.”