African Aura Mining plans to split into separate iron ore and gold companies

UK- and Canada-listed African Aura Mining has announced that, within its plan to restructure its assets, it has confirmed its plan to separate its iron ore and gold assets.
 
Accordingly, African Aura Mining will be renamed Afferro Mining Inc. and will continue to hold its iron ore projects, which include the Putu project in Liberia and the Nkout project in Cameroon. Meanwhile, the newly-formed gold company, named Aureus Mining, will acquire the African Aura gold project portfolio, its 22.1 percent stake in Stellar Diamonds and 40 percent of the group's cash and cash equivalents. Afferro Mining will retain the group's remaining cash and cash equivalents.
 
Shareholders will vote on the proposal on April 5, 2011. The company must get at least two thirds of votes in favor of the split. If approved, the company is expected to split in two on April 13, 2011.