Minera 7.23m takeover bid for Hidefield Gold

The implied price of 1.76p per Hidefield share represents a premium of 43% to the closing price on the 16 September 2009, the last business day before the announcement that takeover discussions were taking place.

Minera says the acquisition requires 75% approval but that it already has irrevocable undertakings from shareholders representing 55.3% of the issued share capital of Hidefield Gold.

In addition, Minera has entered into an agreement with Hidefield to provide a convertible loan financing facility of up to 750,000. The use of funds will enable Hidefield to progress the exploration programme for the Don Nicolas Project in Argentina immediately, to settle outstanding trade creditor accounts, and to cover working capital requirements during the period of the acquisition.

Courtney Chamberlain, Executive Chairman of Minera, says: "The acquisition of Hidefield offers Minera the opportunity to establish an advanced position in the Santa Cruz gold region of Argentina and to diversify its project portfolio further within Latin America.

"Hidefield's Don Nicolas Project in Argentina is an exciting advanced exploration project which is expected to bridge the production profile between our Corihuarmi Gold Mine operation and our Ollachea Project.

"The financing that Minera is providing to Hidefield will enable the Don Nicolas Project to be advanced immediately with the aim of bringing the project into production in the shortest possible timeframe."

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