REG - Alba Mineral Resrcs. - GROC Update - Share Placing

Alba Mineral ResourcesAnnouncement

02/08/2023 07:00

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RNS Number : 9834H  Alba Mineral Resources PLC  02 August 2023

Alba Mineral Resources Plc / EPIC: ALBA / Market: AIM / Sector: Mining

 

2 August 2023

Alba Mineral Resources Plc

("Alba" or the "Company") 

 

GROC Update

Share Placing

 

Alba Mineral Resources Plc (AIM: ALBA) is pleased to note the RNS today by its
portfolio company, GreenRoc Mining Plc ("GreenRoc"), that it has raised gross
proceeds of £470,000 by way of a placing of 12,368,422 new ordinary shares of
0.1 pence each (the "Placing Shares") at a price of 3.8 pence per Placing
Share (the "Placing Price") (the "Placing").

 

Alba Mineral Resources Plc ("Alba") has subscribed for 3,026,316 Placing
Shares as part of the Placing. Following the Placing, Alba will hold
63,026,317  shares, equivalent to 42.97% of the Company's issued capital.

 

Alba's subscription for Placing Shares (the "Subscription") constitutes a
related party transaction as defined by the AIM Rules. The directors of the
Company consider, having consulted with  SPARK Advisory Partners Limited,
the Company's nominated adviser, that the terms of the Subscription are fair
and reasonable insofar as the Company's shareholders are concerned.

 

Alba's Executive Chairman, George Frangeskides, commented:

"We have always made it clear, as GreenRoc's major shareholder, that we will
look to support GreenRoc's fundraising efforts when it is feasible to do so.
The GreenRoc management team has consistently delivered excellent results and
made great strides at what is turning into a world-class graphite project at
Amitsoq. With a completed preliminary economic assessment or PEA due to be
delivered soon and graphite samples being prepared for a potential
international off-take customer, Amitsoq is well set to make another quantum
leap forward during the remainder of this year."

 

The GreenRoc announcement is set out below without material changes.

 

GreenRoc Mining Plc / EPIC: GROC / Market: AIM / Sector: Mining

 

2 August 2023

GreenRoc Mining plc

("GreenRoc" or the "Company")

 

Placing to raise £470k

 

GreenRoc Mining Plc (AIM: GROC), a company focused on the development of
critical mineral projects in Greenland, is pleased to announce that it has
raised gross proceeds of £470,000 by way of a placing of 12,368,422 new
ordinary shares of 0.1 pence each (the "Placing Shares") at a price of 3.8
pence per Placing Share (the "Placing Price") (the "Placing").

 

The net proceeds of the Placing will be put towards finalisation of the
preliminary economic assessment (PEA) of the Amitsoq project, laboratory
preparation of different graphite product samples as requested by a potential
offtaking company, ongoing work including field sampling in relation to the
Environmental and Social Impact Assessment studies and test processing of
Amitsoq graphite ore by new flotation cells developed by a consortium led by
Danish multinational technology company FLSmidth & Co A/S
("FLSmidth").  The net proceeds will also support further commercial
negotiations with potential offtake and financial partners, and general
working capital requirements.

 

GreenRoc's CEO, Stefan Bernstein, commented:

"I am very pleased about our successful raise of £470,000, which will allow
us to finalise the PEA for publication in September, and further progress the
work programme and planning for the development of the Amitsoq graphite
deposit towards production.

 

"We are grateful for the participation in the placing of Alba Mineral
Resources Plc and other existing shareholders of GreenRoc, which we take as a
confirmation of the strength of their continuing belief in the fundamentals of
GreenRoc and our world-class Amitsoq project.

 

"The raise was undertaken at 3.8p which is our current share price and I take
that as yet another sign of strong support and belief in our Amitsoq project.

 

"I am also excited to supply a 200kg sample of Amitsoq graphite ore for test
runs using FLSmidth's new REFLUX(TM) technologies. These REFLUX(TM) cells are
newly developed and have shown to vastly improve recovery rates while reducing
ore processing time, power and water consumption, capital and running costs
and space needs for several different ore types. Positive results from this
test will be very helpful in delineating the right processing technique at
Amitsoq."

 

Alba Mineral Resources Plc holding

 

Alba Mineral Resources Plc ("Alba") has subscribed for 3,026,316  Placing
Shares as part of the Placing. Following the Placing, Alba will hold
63,026,317  shares, equivalent to 42.97% of the Company's issued capital.

 

Related Party Transaction

 

Alba's subscription for Placing Shares (the "Subscription") constitutes a
related party transaction as defined by the AIM Rules. The independent
directors of the Company (being all directors of the Company other than George
Frangeskides and Mark Austin) consider, having consulted with Cairn Financial
Advisers LLP, the Company's nominated adviser, that the terms of the
Subscription are fair and reasonable insofar as the Company's shareholders are
concerned.

 

Warrants

 

As a commission fee for raising £200,000 of funding, the Company has granted
a total of 315,789 warrants with an exercise price of 3.8 pence to G-Force
Capital Ltd (the "Warrants"). The Warrants are exercisable until 7 August
2025.

 

Share Placing: Admission to Trading on AIM and Total Voting Rights

 

Application will be made for the Placing Shares, which will rank pari passu
with the existing ordinary shares of 0.1 pence each, to be admitted to trading
on AIM ("Admission"). It is expected that Admission will become effective and
that dealings will commence at 8:00 a.m. on or around 7 August 2023.

 

Following the issue of the Placing Shares, the total issued share capital of
the Company will consist of 146,682,710  ordinary shares of 0.1 pence each.
The Company does not hold any ordinary shares in Treasury, therefore the total
current voting rights in the Company following Admission will be 146,682,710.
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 in their interest in, the share capital of the
Company under the FCA's Disclosure Guidance and Transparency Rules.

 

Market Abuse Regulation (MAR) Disclosure

 

This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

**ENDS**

 

For further information, please visit www.albamineralresources.com
(http://www.albamineralresources.com/)  or contact:  

Alba Mineral Resources Plc  

George Frangeskides, Executive Chairman
+44 20 3950 0725 

 SPARK Advisory Partners Limited (Nomad)   

Andrew Emmott  / Neil Baldwin
    +44 20 3368 3555 

CMC Markets plc (Broker)  

Thomas Smith / Douglas Crippen
  +44 20 3003 8632 

 St Brides Partners (Financial PR)  

Isabel de Salis / Catherine
Leftley
alba@stbridespartners.co.uk 

 

Alba's Projects and Investments

 Mining Projects Operated by Alba   Location   Ownership
 Clogau (gold)                      Wales      100%
 Dolgellau Gold Exploration (gold)  Wales      100%
 Gwynfynydd (gold)                  Wales      100%
 Investments Held by Alba           Location   Ownership
 GreenRoc Mining Plc (mining)       Greenland  42.97%
 Horse Hill (oil)                   England    11.765%

 

 

 

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