Padbury Mining Limited (ASX:PDY) and Aurium Resources Limited (ASX:AGU) Enter Merger Negotiations

Perth, Nov 16, 2011 AEST (ABN Newswire) - Padbury Mining Ltd (ASX:PDY) and Aurium Resources Ltd (ASX:AGU) have entered into formal, good faith negotiations on a possible merger between the two companies.

An agreement setting the terms of the negotiations was signed late yesterday afternoon.

This agreement sets out a 60-day exclusivity period and the necessary confidentiality obligations and confirms that each party will undertake due diligence reviews of the other, plus discuss possible merger terms and structures.

Terms of any merger have not yet been agreed and will be discussed as part of the negotiations and are subject to shareholder approval.

Contact

Gary Stokes Managing Director Padbury Mining Limited T: +61-8-6460-0250 Media Inquiries Tamatha Smith M: +61-433-569-701