06/13/2011 01:50 EDT | Updated 08/13/2011 05:12 EDT

Giyani Gold, Vancouver Company, To Buy Majority Stake In Madonsi Gold Mine For $2 Million

THE CANADIAN PRESS -- VANCOUVER - Giyani Gold Corp (TSXV:WDG), a Vancouver-based explorer which trades on the TSX Venture Exchange, says it will acquire another past-producing gold mine in South Africa.

The company said Monday it has entered into a binding agreement to acquire a 74 per cent stake in the Madonsi Gold Mine in the Giyani greenstone belt in South Africa.

The pricetag of the deal is $2 million and gives the company its seventh mine in the South African gold belt.

"Adding the Madonsi Gold Mine to our portfolio of contracted acquisitions has us on track with our stated intention of consolidating the Giyani greenstone belt," chairman Duane Parnham said in a release.