* Says pension obligations shifted to Colombian authorities
* Shares rise 18 pct; 2nd highest percentage gain on TSX
March 14 Shares of Gran Colombia Gold Corp
rose as much as 18 percent on Monday, a day after
pension obligations for former employees at a Colombian mine it
bought last year were transferred to the social security
authorities in that country.
Gran Colombia bought Frontino Gold Mines Ltd in August last
year and the transfer of the pension obligations to the
country's authorities was one of the terms of the deal.
Shares of the Canadian gold miner were trading up 17 percent
at C$1.92 in heavy trade, making them the second highest
percentage gainer on the Toronto Stock Exchange.
On Friday, the company transferred about $195 million to the
Colombian Social Security Institute (ISS). It said the balance
of the funds in a trust account -- set up last year to deal with
the pension obligations -- will be used for costs related to
liquidating the pension plan.
Gran Colombia's shares which have gained nearly 41 percent
since the deal in August.
(Reporting by Amruta Sabnis in Bangalore; Editing by Jarshad
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