Stratmin Global Resources PLC Reverse Takeover and Joint Venture Update (5563Q)
30 November 2016 - 10:06PM
UK Regulatory
TIDMSTGR
RNS Number : 5563Q
Stratmin Global Resources PLC
30 November 2016
30 November 2016
Dissemination of a Regulatory Announcement that contains inside
information according to REGULATION (EU) No 596/2014 (MAR).
StratMin Global Resources Plc
("StratMin" or the "Company")
Reverse Takeover and Joint Venture Update
StratMin Global Resources Plc (AIM: STGR) became an AIM Rule 15
cash shell company following the completion of the divestment of
its Graphmada subsidiary in September 2016. The Company is required
to make an acquisition which constitutes a reverse takeover ("RTO")
under the AIM rules within six months of becoming an AIM rule 15
cash shell company or trading in its shares will be suspended from
trading on AIM. The Board has been actively reviewing a number of
investment opportunities.
The Company has been focusing on reviewing opportunities in the
precious metals sector, where a number of interesting prospective
projects have been identified. The Board and management are
experienced in the gold sector and the Company has access to
technical expertise in gold projects, ranging from exploration to
development and production. The performance of the gold price has
improved over the last twelve months despite a recent pullback due
to socio-political events and the Board is of the opinion that
there are significant opportunities for the Company in this
sector.
The Company has agreed with its joint venture partner Tirupati
Carbons and Chemicals Pvt Ltd ("Tirupati"), to open the syndication
of their joint venture company, Tirupati Resources Mauritius Ltd
("TRM"), to new investors. TRM is currently owned by Tirupati
(98.53%) and StratMin (1.47%). TRM is the 98% owner of Tirupati
Madagascar Ventures SARL ("TMV") which owns the Vatomaina licence,
Exploitation Permit (PE) No. 38321, for the Vatomaina large flake
graphite project in Madagascar. StratMin and Tirupati have agreed
that any new investment will be made at a minimum entry price equal
to StratMin's existing investment. Opening the joint venture to new
investment will enable Tirupati to accelerate development of the
Vatomaina project. It is the intention of the joint venture
partners to arrange a stock market flotation of TRM as soon as
practicable following commissioning of the Vatomaina plant.
StratMin intends to direct its existing resources to completion
of an RTO but may revisit participating in the joint venture with
Tirupati and the Vatomaina project after the successful completion
of an RTO.
In the interim the Company's holding in Bass Metals Ltd has
performed well with significant volumes trading over the last week
up to A$0.02, and closing on the ASX today at A$0.017, a 70 per
cent. premium to the Company's acquisition price in September 2016.
The Company has divested 5 million shares at an average price of
A$0.018 per share over the last week to crystallise gains and the
70 million remaining share-holding currently has a value of
A$1,190,000 (GBP709,319).
Brett Boynton, CEO commented:
"The team is conscious of working to complete a suitable
transaction in order to maintain the Company's admission to trading
on AIM. Nothing has been decided yet, but we can say that we are
reviewing some very high quality opportunities. Opening the TMV
project to new investment enables StratMin to focus on the RTO
requirement and dedicate cash to that effort."
For further information please visit www.stratminglobal.com or
contact:
StratMin Global Resources Plc +44 (0) 20
Brett Boynton, CEO 3691 6160
Allenby Capital (Nominated Adviser
& Broker)
John Depasquale/ Nick Harriss/ +44 (0) 020
Liz Kirchner 3328 5656
Optiva Securities (Broker) +44 (0) 20
Christian Dennis 3137 1903
VSA Capital Limited (Financial
Adviser) +44 (0) 20
Andrew Raca 3005 5000
This information is provided by RNS
The company news service from the London Stock Exchange
END
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