African Pioneer PLC Namibian Projects increase of interest to 85% (0431K)
27 August 2021 - 8:45PM
UK Regulatory
TIDMAFP
RNS Number : 0431K
African Pioneer PLC
27 August 2021
27 August 2021
African Pioneer Plc
("African Pioneer" or "the Company")
Namibian Projects increase of interest to 85%
African Pioneer (TIDM: AFP), the copper-gold exploration and
development company, is pleased to announce it has entered into an
agreement to acquire a further 15% interest in its Ongombo Project
and Ongeama Project in Namibian (the "Namibian Projects")
increasing its interest in the Namibian Projects to 85%.
The 15% interest in the Namibia Projects is being acquired by
the Company through its wholly owned subsidiary Zamcu Exploration
Pty Ltd which is acquiring a 15% shareholding in each of Manmar
Investments One Hundred and Twenty Nine (Pty) Ltd and Manmar
Investments One Three Six (Pty) Ltd for an aggregated cash payments
of AUD528,000 (appox. GBP278,495) and the issue of 2,248,295
ordinary shares of no par value each (the "New Ordinary Shares") to
settle AUD100,000 (approx. GBP52,745). The New Ordinary Shares will
be issued to the vendor, Mr Wilhelm Shali who holds the remaining
15% interest in Namibian Projects and who is a member of the
Concert Party further details of which are disclosed in the
Company's prospectus dated 26 May 2021. The New Ordinary Shares are
subject to a 12 month lock up and will increase Mr Shali's
shareholding to 7,124,675 shares which will represent 3.71% of the
share capital as enlarged by the issue of the New Ordinary Shares.
Accordingly, following Admission the aggregated Concert Party
interest will be 51.72%. In addition, pursuant to the agreement,
the Company will have first right of refusal should Mr Shali want
to sell his remaining 15% interest and he is prohibited from any
sale which could prejudice the Company's ability to comply with any
ownership or licensing requirements under any applicable laws or
regulations.
Colin Bird, Executive Chairman of Bezant, commented:
"The prospects of copper are strong now and into the future and
our assessment is that the copper industry will return to its
structure of the 1990s, where small high-grade mines existed,
medium sized open pit and underground mines existed and of course,
the large open pits which were the key contributors . With this in
mind we have commenced preparations for applying for a mining
licence for the Ongombo Project and have accelerated our review of
the projects technical information and are pleased to have acquired
a further 15% interest in our copper gold Namibian Projects which
show good fundamentals."
Application to trading : Applications will be made to the
Financial Conduct Authority ("FCA") and the London Stock Exchange
for the 2,248,295 New Ordinary Shares, to be admitted to the
Official List and to trading on the London Stock Exchange's main
market for listed securities (the "Admission"). It is expected that
Admission will become effective and that dealings in the New
Ordinary Shares will commence at 8.00 a.m. on or around 3 September
2021.
Issued Share Capital : Following the issue of the New Ordinary
Shares, the Company's total issued share capital will consist of
191,707,845 Ordinary Shares with voting rights. The Company does
not hold any Ordinary Shares in treasury and accordingly there are
no voting rights in respect of any treasury shares.
Total Voting Rights On Admission, the above mentioned figure of
191,707,845 Ordinary Shares may be used by shareholders in the
Company as the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a
change to their interest in, African Pioneer under the Financial
Conduct Authority's Disclosure Guidance and Transparency Rules.
Background on the Namibian Projects (from the Company's 26 May
2021 prospectus)
Geological Setting and Mineralisation : Both the Ongombo and
Ongeama projects (EPLs 5772 and 6011) are geologically located
within the Matchless Member of the Kuiseb Formation, a conspicuous
assemblage of lenses of foliated amphibolites, chlorite-amphibolite
schist, talc schist and metagabbro. This belt, up to 5 km wide in
the Otjihase Mine (in care and maintenance) area, stretches 350 km
east-northeastwards within the Southern Zone of the Damara Orogen
from the Gorob - Hope area in the south, towards Steinhausen in the
north. The belt hosts copper-gold mineralisation which has been in
past production at two localities (Otjihase - and Matchless Mines
owned by Weatherly International plc).
Access and Availability of Exploration Requirements: Both
projects are located in the Khomas Region of central Namibia within
50 km by road from the capital Windhoek. Both EPLs are accessed via
the B6 road leading eastwards towards Hosea Kutako International
Airport. EPL 6011 (Ongeama) is accessed via the D1527 road leading
northwards towards the Weatherly International plc Otjihase Mine
(now under administration), while the D2102 (branching from the
D1510) district road provides access to EPL 5772 (Ongombo). The
international airport is approximately 12 km east of the combined
EPL area. Labour will be available from the city of Windhoek.
Potential tailings storage areas, waste disposal areas, heap leach
pads and potential processing plant sites can only be identified
after an EIA has been completed. Windhoek should also be able to
supply most exploration requirements and comply with all sustenance
supplies.
Mineralisation Type and Model: Both the Ongombo and Ongeama
projects are generally described as Besshi-type volcanic-hosted
massive sulphides. These are described as thin-sheet like bodies of
massive to well-laminated pyrite, pyrrhotite, and chalcopyrite
within thinly laminated clastic sediments and mafic tuffs.
Historical Information: The Ongombo occurrence was discovered in
the early 1970's by an airborne magnetic survey, which was followed
up on by 132 historical diamond drill holes that have defined three
main northwest dipping mineralised shoots. The Ongeama copper
occurrence is geologically similar to the Ongombo occurrence.
Historical work defined a surface outcrop of northeast-southwest
trending gossanous pelitic schists developed over 1.2 km.
Subsequently, 26 diamond drill holes completed in 1970's
demonstrated the Ongeama shoot extends down-plunge for a distance
of 1,650 m, over a width of 150 to 250 m. Further drilling in the
1990's showed copper mineralisation to extend to a depth of 350 m
below surface.
For further information, please contact:
African Pioneer Plc
Colin Bird
Executive Chairman +44 (0)20 7581 4477
Beaumont Cornish (Financial Adviser)
Roland Cornish +44 (0) 020 7628 3396
Novum Securities Limited (Broker)
Jon Belliss +44 (0) 20 7399 9400
or visit https://africanpioneerplc.com/
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014 as it forms part of
UK Domestic Law by virtue of the European Union (Withdrawal) Act
2018 ("UK MAR").
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
AGRBDLFLFVLXBBL
(END) Dow Jones Newswires
August 27, 2021 06:45 ET (10:45 GMT)
African Pioneer (LSE:AFP)
Historical Stock Chart
From Mar 2024 to Apr 2024
African Pioneer (LSE:AFP)
Historical Stock Chart
From Apr 2023 to Apr 2024