The World Sports Alliance Intergovernmental Organization (WSA-IGO) has closed the asset purchase agreement with Ghana Gold for $5bn gold concessions in the Central African Republic (CAR).

Ghana Gold, through this agreement, secures mineral exploration, production and commercialization rights to gold concessions in CAR from the WSA-IGO through WSA Global.

In turn, Ghana will aid the WSA Global in its socio-economic initiative within the WSA member state of the CAR.

WSA-IGO president H.E. Amb. Alain Lemieux stated: "This marks another concrete step towards the deployment of the WSA-IGO’s socio-economic initiative within its Member States and, through this process we expect to see this young company become a significant gold player in Africa."

As per the terms of asset purchase agreement, Ghana Gold will issue 500 million restricted common shares, a $250m, 10-year corporate unsecured bond at annual interest of 6% as well as remittance of net smelting royalties of 2.5%.

Further, the company will invest $50m towards 10 year work program to pay an administration fee based on the annual approved

The agreement is scheduled to be executed by 23 May 2013.