Projects

Overview

During the financial year, the company completed its takeover offer for ASX-listed Shield Mining Limited, which held projects in Mauritania, West Africa including the highly prospective and under explored Tijirit Gold Project located adjacent to Kinross/Redback Mining’s world-class Tasiast (+21Moz) gold mine. As part of the Shield transaction, Mr. David Netherway joined the Board of Gryphon as a Non-executive Director. The appointment of Mr. Netherway who was previously the Managing Director of Shield Mining Limited, brings more than 25 years’ of West African mining experience.

In September 2010, Gryphon Minerals announced it had raised $45.2 million via a share placement to fast-track exploration of the highly prospective Banfora Gold Project in Burkina Faso and to begin to explore its newly acquired Tijirit Gold Project in Mauritania. The placement was heavily oversubscribed with significant demand coming from new and existing institutional investors in North America, Europe and Australia. In addition, Gryphon announced a share purchase plan, open to all eligible shareholders, and raised an additional $3.0 million at $1.25 per share.

During the period the company also completed the divestment of its Australian gold and nickel assets to Renaissance Minerals Limited (ASX: RNS), following their successful listing on the ASX. Gryphon’s holding represents approximately 16% of the total issued capital of the company. The transaction allows Gryphon to focus on the Banfora Gold Project and Tijirit Gold Projects and the company’s West African growth strategy.

In December of 2010, Gryphon announced a strategic alliance agreement with ASX listed Tawana Resources NL (ASX: TAW). Under the terms of the agreement Gryphon will assist Tawana with the identification and acquisition of mineral permits in West Africa, which are outside of Gryphon’s core geographical growth strategy. Gryphon will also assist Tawana in establishing itself in West Africa and provide high level logistical, operational and technical advice and transfer mineral permit applications to Tawana covering over 3,800 square kilometres of ground in Liberia, West Africa. In exchange, Gryphon received 100 million shares in Tawana, which currently represents approximately 12% of the issued and outstanding share capital of the company.

In April 2011, Gryphon was admitted to the prestigious S&P/ASX 200.