TIDMALBA
RNS Number : 8520U
Alba Mineral Resources PLC
03 August 2020
Alba Mineral Resources plc
("Alba" or "the Company")
Share Placing
Alba Mineral Resources plc (AIM: ALBA) is pleased to announce
that it has raised GBP450,000 (before expenses) through the issue
of 692,307,692 new ordinary shares at a price of 0.065 pence per
ordinary share (the "Placing"), conditional on the admission of
such new ordinary shares to trading on AIM ("Admission").
Share warrants will also be issued to each subscriber in the
Placing, with one warrant to be issued for every two shares
subscribed for, for a total of 346,153,846 warrants.
The warrants will have an exercise price of 0.13p per share and
an expiration date of 24 months from the date of issue. The
warrants will also be subject to an accelerator provision, such
that if at any time during the 24 month duration of the warrants
the 10-day volume-weighted average price (VWAP) of Alba ordinary
shares exceeds 0.26p per share, the Company may give warrant
holders notice to exercise their warrants within 10 business days
following the Company's notice and to pay the exercise price in
full within 15 business days following the Company's notice,
failing which the warrants will automatically expire.
The warrants will not be traded on any exchange and will
otherwise be issued subject to the terms and conditions set out in
a warrant instrument to be executed by the Company.
With the price of gold currently at an all-time high of almost
US$2,000 per ounce, as announced on 22 July 2020 the Company's
near-term work activities will be very much focused on the Clogau
Gold Project. The proceeds from the Placing will be used to
accelerate work activities at Clogau including the following
activities:
- the bulk sampling of several tonnes of ore from several
targets within the existing mine workings;
- the drilling of a number of targets from underground, with the
first phase expected to involve 5-10 holes for up to 500 metres of
drilling;
- the establishment of a bespoke gold pilot processing plant at or close to the mine site;
- further underground chip and channel sampling and 3D scanning; and
- the surface trenching of a selection of the 10 new gold
targets previously identified by Alba over a six-mile section of
the Dolgellau Gold Belt.
The Company also intends to complete the next phase of
metallurgical testwork on the high-grade Amitsoq Graphite Project
and to commission an independent scoping study on the Melville Bay
Iron Ore Project (JORC resource 67Mt at 31.4% Fe). All work
activities are subject to timely receipt of regulatory and
third-party approvals and contractor availability, however the
process for obtaining approvals and finalising contracts with key
contractors is well underway.
The proceeds from the Placing will also be used for general
working capital purposes.
The Company will exercise its right to postpone by 60 days the
closing of the next tranche of funding under the financing
arrangement entered into with U.S. based institutional fund, Bergen
Global Opportunity Fund, LP (see the Company's announcement of 24
February 2020), such that the next tranche will not now close until
the end of October 2020.
Admission to AIM
Application will be made for the new ordinary shares to be
admitted to trading on AIM ("Admission"). It is expected that
Admission of the new ordinary shares will become effective at 8.00
a.m. on or around 7 August 2019. The new ordinary shares will be
issued credited as fully paid and will rank in full for all
dividends and other distributions declared, made or paid after
Admission and will otherwise rank on Admission pari passu in all
respects with the existing ordinary shares.
Total Voting Rights
Following Admission, the total number of ordinary shares in
issue will be 4,834,409,638. The Company does not hold any ordinary
shares in treasury. Therefore, the total number of ordinary shares
with voting rights will be 4,834,409,638. This figure 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, the
share capital of the Company under the Financial Conduct
Authority's Disclosure and Transparency Rules.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
Forward Looking Statements
This announcement contains forward-looking statements relating
to expected or anticipated future events and anticipated results
that are forward-looking in nature and, as a result, are subject to
certain risks and uncertainties, such as general economic, market
and business conditions, competition for qualified staff, the
regulatory process and actions, technical issues, new legislation,
uncertainties resulting from potential delays or changes in plans,
uncertainties resulting from working in a new political
jurisdiction, uncertainties regarding the results of exploration,
uncertainties regarding the timing and granting of prospecting
rights, uncertainties regarding the Company's or any third party's
ability to execute and implement future plans, and the occurrence
of unexpected events. Actual results achieved may vary from the
information provided herein as a result of numerous known and
unknown risks and uncertainties and other factors.
For further information, please contact:
Alba Mineral Resources plc
George Frangeskides, Executive Chairman +44 20 3907 4297
Cairn Financial Advisers LLP (Nomad)
James Caithie / Liam Murray +44 20 7213 0880
First Equity Limited (Broker)
Jason Robertson +44 20 7374 2212
Alba's Project and Investment Portfolio
Project (commodity) Location Ownership
Mining Projects
Amitsoq (graphite) Greenland 90%
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Clogau (gold) Wales 90%
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Inglefield (copper, cobalt,
gold) Greenland 100%
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Limerick (zinc-lead) Ireland 100%
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Melville Bay (iron ore) Greenland 51%
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TBS (ilmenite) Greenland 100%
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Oil & Gas Investments
Brockham (oil) England 5%
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Horse Hill (oil) England 11.765%
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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.
END
IOEEAFPAELLEEAA
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