REG - Andrada Mining Ltd - Appointment of Barclays as Strategic Advisor

Andrada MiningAnnouncement

11/05/2023 07:00

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RNS Number : 0224Z  Andrada Mining Limited  11 May 2023

11 May 2023

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 (MAR) as in force in the United Kingdom pursuant to the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service (RIS), this inside information
is now considered to be in the public domain.

Andrada Mining Limited

("Andrada" or the "Company")

Appointment of Barclays Bank PLC as a strategic financial advisor to the
Company's lithium development programme

Andrada Mining Limited (AIM: ATM), an African technology metals mining company
with a portfolio of mining and exploration assets in Namibia, is pleased to
announce the appointment of Barclays Bank PLC acting through its Investment
Bank ("Barclays"), as a strategic adviser to advance its lithium portfolio.

As previously announced, the Company is in the process of expanding its
existing tin operations to incorporate a lithium concentrate production
stream. The Company operates in the lithium rich Erongo Region of Namibia and
aims to use its asset position and first mover competitive advantage to
rapidly develop a vertically integrated lithium industry within the country.
Bringing a lithium concentrate to market from the ongoing pilot programme,
will be the first step to validating the lithium potential of the region as
well as unlocking the significant potential of the Company's large mineral
resource.

As a result of these ongoing initiatives, Andrada has received numerous
unsolicited approaches from international entities seeking to participate in
the acceleration of the Company's lithium strategy by partnering with Andrada
to develop its Uis mining licence ML134. To this end, the Andrada Board has
decided to undertake a structured assessment ("Strategic Assessment") of these
approaches. The focus will be on identifying a partner with appropriate
technical and financial capabilities for expediting the lithium opportunity,
by way of investment into the Uis Tin Mine Company (Pty) Limited, the
subsidiary that holds the ML134 mining licence.  The Strategic Assessment
will enable Andrada to explore several funding permutations based on existing
and proposed options, to determine the one that is most aligned to its overall
objectives.

Barclays, through its Investment Bank, has been appointed to lead the
Strategic Assessment alongside Andrada's existing advisory and financing
partners. Barclays was selected from several potential advisors based on its
extensive experience and knowledge in the lithium sector for small to mid-cap
companies such as Andrada. Any parties interested in submitting an indication
of interest in relation to the Strategic Assessment should contact Barclays
via the contact details shown below.

Commenting on the Strategic Assessment, Anthony Viljoen, Andrada CEO said, "As
Andrada accelerates its trajectory towards producing lithium and establishing
Namibia as a major producer, it is imperative that it collaborates with an
appropriate strategic partner to realise value from this opportunity within
the shortest timeframe. The appointment of a financial advisor for the
Strategic Assessment will be key to ensuring that we have a well-structured
and successful outcome. Barclays provides the optimal combination of extensive
experience in advising on strategic partnerships and access to the global
financial markets. We look forward to providing further updates on this
process in due course."

 

 

Barclays is acting for Andrada and no one else in connection with the
Strategic Assessment and will not regard any other person (whether or not a
recipient of this announcement) nor be responsible to any person other than
Andrada for providing the protections afforded to the clients of Barclays or
for providing advice in relation to the Strategic Assessment. Neither an offer
for the Company or a sale of the ML134 mining licence are options being
considered as part of the Strategic Assessment.

 

 Andrada Mining Limited                                            +27 (11) 268 6555

 Anthony Viljoen, CEO

 Sakhile Ndlovu, Head of Investor Relations
 Barclays Bank PLC, acting through its                             +44 (0) 20 7623 2323
                         Investment Bank

 Philip Lindop

 Bruce Hart

 Akshay Majithia
 Nominated Adviser
 WH Ireland Limited                                                +44 (0) 207 220 1666

 Katy Mitchell
 Corporate Advisor and Joint Broker
 H&P Advisory Limited                                              +44 (0) 20 7907 8500

 Andrew Chubb

 Jay Ashfield

 Matt Hanson
 Stifel Nicolaus Europe Limited                                    +44 (0) 20 7710 7600

 Ashton Clanfield

 Callum Stewart

 Varun Talwar
 Tavistock Financial PR (United Kingdom)                           +44 (0) 207 920 3150

 Emily Moss

 Catherine Drummond

 Adam Baynes

 

About Andrada Mining Limited

Notes to editors

Andrada Mining Limited is a London-listed technology metals mining company
with a vision to create a portfolio of globally significant, conflict-free,
production and exploration assets. The Company's flagship asset is the Uis
Mine in Namibia, formerly the world's largest hard-rock open cast tin mine.

 

Lithium laboratory test work completed during the 2022 calendar year indicated
a high-grade, ultra-low iron lithium petalite concentrate. The test work to
convert lithium petalite concentrate to battery-grade lithium hydroxide was
initiated with Nagrom, a leading Australian processing company, and commercial
engagements with lithium petalite concentrate off - takers are on-going.

 

An exploration drilling programme is currently underway with the aim of
expanding the tin resource over the fourteen additional, historically mined
pegmatites, all of which occur within a 5 km radius of the current processing
plant. The Company has set a mineral resource target of 200 Mt to be
delineated within the next 5 years. The substantial mineral resource potential
allows the Company to consider economies of scale.

 

Andrada is managed by a board of directors with extensive industry knowledge
and management team with deep commercial and technical skills. Furthermore,
the Company is committed to the sustainable development of its operations and
the growth of its business. This is demonstrated by how the leadership team
places significant emphasis on creating value for the wider community,
investors, and other key stakeholders. Andrada has established an
environmental, social and governance system which has been implemented at all
levels of the Company and aligns with international standards.

 

-END-

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