REG - Alba Mineral Resrcs. - Share Placing and Subscription and Retail Offer

Alba Mineral ResourcesAnnouncement

18/07/2024 07:00

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RNS Number : 8474W  Alba Mineral Resources PLC  18 July 2024

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

18 July 2024

Alba Mineral Resources plc

 

("Alba" or "the Company")

 

Share Placing and Subscription and Retail Offer

 

Alba Mineral Resources plc (AIM: ALBA) is pleased to announce that it has
raised £300,000 (before expenses) in a placing and subscription involving
the issue of 857,142,857 new ordinary shares at a price of 0.035 pence per
ordinary share (the "Issue Price") (the "Placing"), conditional on the
admission of such new ordinary shares to trading on AIM. CMC Markets UK Plc,
trading as CMC CapX, acted as the Company's sole placing agent in respect of
the Placing. The Placing includes a subscription of £17,000 by George
Frangeskides, Chairman of the Company, and £3,000 by Michael Nott,
Non-Executive Director.

 

The Company also provides details in this announcement of a proposed retail
offer via CMC CapX (the "Retail Offer").

 

Finally, the Company advises that an updated presentation is, or will shortly
be, available on the Company's website at www.albamineralresources.com
(http://www.albamineralresources.com) under "Investor Relations".

 

Share Placing

 

The proceeds from the Placing announced today to raise £300,000 (before
expenses), together with any additional funds raised from the Retail Offer
(further described below), are intended to be used to continue the Company's
value-enhancing activities across the Company's portfolio, including:

 

In relation to the Clogau-St David's Gold Mine in Wales (100% owned by Alba):

 

-        The carrying out of blasting and associated operations in
respect of the bulk sampling of circa 300 tonnes of ore from the Llechfraith
Target, the Company's highest priority gold target at the Mine;

 

-        In relation to the Waste Tip at Clogau, the completion of the
current trenching programme which seeks to extract up to circa 100 tonnes of
fines material and then process and refine that material for its gold content;
and

 

-        Design and specification work in relation to upgrading the
existing pilot processing plant at Clogau or in relation to the construction
and siting of a new processing plant in order to handle much greater
throughputs of ore.

 

In relation to corporate activities:

 

-        Furthering ongoing marketing and offtake discussions and
analysis in relation to the optimal routes to market for the "first pour" gold
to be produced at Clogau and the entering into contracts and/or purchase of
any capital items required in relation to such production.

 

-        For general working capital purposes.

 

Retail Offer

In addition to the Placing, it is proposed that there will be a separate
conditional retail offer to existing shareholders via CMC CapX to raise up to
approximately £100,000 (before expenses) at the Issue Price (the "Retail
Offer", and together with the Placing, the "Fundraise"), to provide existing
retail shareholders in the Company with an opportunity to participate in the
Fundraise. A separate announcement will be made shortly by the Company
regarding the Retail Offer and its terms.

Those investors who subscribe for new Ordinary Shares pursuant to the Retail
Offer (the "Retail Shares") will do so pursuant to the terms and conditions of
the Retail Offer contained in that announcement.

George Frangeskides, Alba's Executive Chairman, commented:

"This funding will take us into the blasting and bulk sample collection
exercise at the Llechfraith Target, our primary target for future gold
production within the Clogau Gold Mine.

"The blasting programme, which is expected to take two to three months of
continuous operations, is the culmination of several years of work by the Alba
team, which began with our initial purchase of the rights to the Mine in 2018,
and which in turn led to our rehabilitation of key areas within the Mine, the
drilling of new gold targets both from surface and underground, the completion
of a lengthy environmental permitting phase, including a full Habitat
Regulations Assessment, the dewatering and rehabilitation of previously
flooded Levels 2 to 5 inclusive and, most recently, the commissioning and
installation of the necessary water, air, ventilation, winching and other
mining equipment which are needed for the blasting and bulk sampling
operations to proceed from No.5 Level.

"This work has involved a huge endeavour by our management and technical teams
over the past several years, aided by our trusted professional advisers,
consultants and contractors.  It is no mean feat to have got to the point, in
the presently highly regulated UK environment, whereby we are now about to put
in place the first significant new underground development at Clogau in
decades.

"As the Company values the support of its shareholders throughout this long
journey, we are also pleased to be able to announce a retail offer for
existing shareholders via our brokers CMC CapX."

Director Subscription

 

The table below provides details of the purchase of Shares by Directors of the
Company under the Subscription and their resulting interests following the
purchase. The PDMR form is set out at the bottom of this announcement.

 

 Director             Subscription (£)   Shares Allotted
 George Frangeskides  £17,000            48,571,428
 Michael Nott         £3,000             8,571,428

 

The subscription by George Frangeskides and Michael Nott for shares in the
Placing (the "Subscription") constitutes a related party transaction as
defined by the AIM Rules. The independent director of the Company, Elizabeth
Henson, considers, having consulted with SPARK Advisory Partners Ltd, the
Company's nominated adviser, that the terms of the Subscription are fair and
reasonable insofar as the Company's shareholders are concerned.

 

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 24 July 2024. 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
9,175,447,238. The Company does not hold any ordinary shares in treasury.
Therefore, the total number of ordinary shares with voting rights will be
9,175,447,238. 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 the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

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
timing and granting of regulatory and other third party consents and
approvals, 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.

 

**ENDS**

 

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

 Alba Mineral Resources plc                 +44 20 3950 0725

 George Frangeskides, Executive Chairman
 SPARK Advisory Partners Limited (Nomad)    +44 20 3368 3555

 Andrew Emmott
 CMC Markets plc (Broker)                   +44 (0) 20 3003 8632

 Thomas Smith / Douglas Crippen

 

 

 Alba's Projects & Investments
 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 Strategic Materials Plc (graphite - anode)  Greenland  34.72%
 Horse Hill (oil)                                     England    11.765%

 

 

 Notification of a Transaction pursuant to Article 19(1) of Regulation (EU) No.
 596/2014
 1     Details of the person discharging managerial responsibilities/person closely
       associated
 a.    Name                                                           Mr George Frangeskides
 2     Reason for notification                                         

                                                                       

                                                                       
 a.    Position/Status                                                Director
 b.    Initial notification/                                          Initial notification

       Amendment
 3     Details of the issuer, emission allowance market participant, auction
       platform, auctioneer or auction monitor
 a.    Name                                                           Alba Mineral Resources plc
 b.    LEI

                                                                      213800Z1BU53AWR9J329 
 4     Details of the transaction(s): section to be repeated for (i) each type of
       instrument; (ii) each type of transaction; (iii) each date; and (iv) each
       place where transactions have been conducted
 a.    Description of the financial instrument, type of instrument     

Identification Code                                           Ordinary shares of 0.01 pence each

                                                                      GB00B06KBB18

 b.    Nature of the transaction                                      Subscription for Ordinary shares of 0.01 pence each
 c.    Price(s) and volume(s)
                                                                                  Price(s)    Volume(s)
       0.035 pence                                                                48,571,428

 d.    Aggregated information

                                                                      N/A

 e.    Date of the transaction                                        18 July 2024
 f.    Place of the transaction                                       London, UK

 

 Notification of a Transaction pursuant to Article 19(1) of Regulation (EU) No.
 596/2014
 1     Details of the person discharging managerial responsibilities/person closely
       associated
 a.    Name                                                           Mr Michael Nott
 2     Reason for notification                                         

                                                                       

                                                                       
 a.    Position/Status                                                Director
 b.    Initial notification/                                          Initial notification

       Amendment
 3     Details of the issuer, emission allowance market participant, auction
       platform, auctioneer or auction monitor
 a.    Name                                                           Alba Mineral Resources plc
 b.    LEI

                                                                      213800Z1BU53AWR9J329 
 4     Details of the transaction(s): section to be repeated for (i) each type of
       instrument; (ii) each type of transaction; (iii) each date; and (iv) each
       place where transactions have been conducted
 a.    Description of the financial instrument, type of instrument     

Identification Code                                           Ordinary shares of 0.01 pence each

                                                                      GB00B06KBB18

 b.    Nature of the transaction                                      Subscription for Ordinary shares of 0.01 pence each
 c.    Price(s) and volume(s)
                                                                                  Price(s)    Volume(s)
       0.035 pence                                                                8,571,428

 d.    Aggregated information

                                                                      N/A

 e.    Date of the transaction                                        18 July 2024
 f.    Place of the transaction                                       London, UK

 

 

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