Avocet Mining PLC (“Avocet”) owns an 80% interest in an Indonesian company which holds a 6th generation Contract of Work (“CoW”) located in the central portion of North Sulawesi in the District of Bolaang Mongondow, Indonesia. The North Lanut gold mine is located within the CoW, which includes exploration and mining rights over approximately 50,000 hectares. The property includes the Riska, Effendi, Talugon, Durian, Rasik and Osela deposits. Franco-Nevada has a 5% NSR on 80% of gold production which will cease after 500,000 ounces of production. Production from the property was 47,580 oz of gold in 2010, bringing the total life of mine production to just under 310,000 ounces. In 2010, the cash cost of production was estimated to be just over $670/oz. On December 24, 2010, Avocet announced that it has signed a binding agreement for the conditional sale of its South East Asian assets, including the North Lanut Mine, to J&P Partners, LP, a private Cayman Islands company.