TORONTO (miningweekly.com) – TSX Venture Exchange-listed Medoro Resources has signed a binding agreement with Colombia Goldfields, to swap all the issued and outstanding shares of Colombia in exchange for Medoro shares and warrants.

Under the proposed arrangement, which is subject to regulatory approval and the go-ahead from Colombia shareholders, Medoro will exchange 0,28 of a share plus 0,009 of a consideration warrant of Medoro for each share of Colombia Goldfields.

If the transaction goes ahead as planned, Colombia Goldfields' stockholders will own approximately 25% of Medoro.

Medoro Resources is a gold exploration and development company focused on acquiring properties of merit for potential joint ventures with senior producers.

The firm has assets in Venezuela and Mali.

Colombia Goldfields is developing a large gold resource on and around Colombia's Marmato Mountain. The company said last month it was continuing to evaluate "strategic options", in light of market conditions.

"The proposed acquisition gives Medoro a well-developed asset that helps us diversify our portfolio of properties,” Medoro CEO Robert Doyle said in a statement.

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