REG - BlueRock DiamondsPLC - Corporate Update & Appointment of Administrators

Bluerock DiamondsAnnouncement

06/06/2023 13:15

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RNS Number : 8394B  BlueRock Diamonds PLC  06 June 2023

BlueRock Diamonds PLC / AIM: BRD / Sector: Natural Resources

6 June 2023

BlueRock Diamonds PLC ('BlueRock', 'BRD' or the 'Company')

Corporate Update & Appointment of Administrators

 

BlueRock Diamonds (BRD), the AIM listed diamond producer, which owns and
operates the Kareevlei Diamond Mine (Kareevlei) in the Kimberley region of
South Africa, announces the following update.

The Business Rescue Practitioners have confirmed that the mining license for
Kareevlei was renewed, subject to the fulfilment of conditions which are
expected to be completed shortly. Operations at the mine remain suspended and
negotiations are in progress for the restructuring of Kareevlei.

Further discussions with the Business Rescue Practitioners have noted that as
BlueRock is a non-independent creditor of Kareevlei it would only receive a
potential distribution after the payment of Post Commencement Finance and it
is doubtful that there will be cash to service the unsubordinated claim at
that point. A final distribution to Bluerock from Kareevlei is, therefore, now
considered unlikely.

The Board engaged further with the major shareholder and the Business Rescue
Practitioners about the possible purchase of the BRD claim and decided that it
is in the best interests of the Company and all its stakeholders that BlueRock
be placed in administration, while there is further engagement with the
Business Rescue Practitioners.

The Board yesterday filed a Notice of Appointment of Administrators in respect
of the Company in the English High Court.  As a result, Allister Manson and
Trevor Binyon, of Opus Restructuring LLP were appointed Joint Administrators
of the Company, effective 15h48 (BST) on 5 May 2023.

Trading in the Company's shares on AIM will remain suspended and further
announcements will be made in due course as appropriate.

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this inside
information is now considered to be in the public domain.

**ENDS**

 

 

For further information, please visit BlueRock's website
www.bluerockdiamonds.co.uk or contact:

 

 BlueRock Diamonds PLC (in Administration)                    bradley.parrott@opusllp.com

 Allister Manson & Trevor Binyon (Joint Administrators)       ben.ekbery@opusllp.com

                                                              Tel: +44 (0)20 3326 6454
 SP Angel (NOMAD and Broker)

 Stuart Gledhill / Harry Davies-Ball                          Tel: +44 (0)20 3470 0470

 

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