19 August 2009

Avoca at 36..46 % following Baker Steel acceptances

ASX200 gold producer, Avoca Resources Limited (ASX:AVO) (Avoca) announces that its relevant interest in Dioro Exploration NL (Dioro) shares has increased to 36.46% following receipt of acceptances representing 10,491,240 Dioro shares from Baker Steel Capital Managers LLP (Baker Steel), Dioro’s second largest shareholder after Avoca. 

Baker Steel is a specialist investment manager in gold and natural resources. By accepting Avoca’s Offer, Baker Steel has realised the benefits of becoming an Avoca shareholder and combining the operations of Avoca and Dioro.  In addition, this is a clear demonstration by an educated and sophisticated investor that it considers the Avoca Offer to be SUPERIOR to the proposed Ramelius offer.

Avoca Chairman Robert Reynolds said that Baker Steel, as the next largest shareholder in Dioro after Avoca, has clearly recognised the compelling logic of accepting Avoca’s offer and rejecting Ramelius inferior proposed offer. 

As we have previously stated, Avoca’s offer is far superior to the proposed Ramelius offer, Mr Reynolds said.

We encourage all Dioro shareholders to ACCEPT Avoca?s offer before they miss out.?

By joining Avoca, Dioro shareholders will be part of an ASX 200 Company with the credentials to become Australia’s pre-eminent mid-tier gold producer.

Avoca’s offer is due to close at 5:00pm (Perth time) today.  In order to accept by this time, CHESS sponsored Dioro shareholders will need to urgently instruct their broker to accept on their behalf.  Issuer sponsored holders will need to deliver their acceptance form to Security Transfer Registrars Pty Ltd either by fax (+61 8 9315 2233), scan/email (registrar@securitytransfer.com.au) or hand delivered to 770 Canning Highway, Applecross WA 6153.

For further enquiries, please contact:

Avoca Resources: Rohan Williams 08 9226 0625

Purple Communications: Warrick Hazeldine 08 6314 6300 / 0417 944 616

Purple Communications

Level 3, 28 Kings Park Road, WEST PERTH WA 6005

Ph: 08 6314 6300 Fax: 08 6314 6355

purple@purplecom.com.au