REG-Anglesey Mining PLC: Placing of New Shares for £0.225 million <Origin Href="QuoteRef">AYM.L</Origin>

Anglesey MiningAnnouncement

20/03/2017 07:01

20th March 2017
                                                                  
LSE: AYM

Placing of New Shares for £0.225 million

Anglesey Mining plc is pleased to announce that it has today agreed to issue
5,000,000 new ordinary shares, representing approximately 2.8% of the
Company’s enlarged issued share capital, at 4.5 pence per share in a
placement, to raise a total of £225,000 gross and £213,750 net.

The net proceeds of issue will be used for general working capital and for the
continued development of the Parys Mountain poly-metallic project in North
Wales on which an updated scoping study is being prepared by Micon
International Limited and by Fairport Engineering Limited.  This study is
reviewing capital and operating costs including the use of available
second-hand plant to minimise capital expenditure wherever possible.  Recent
increases in base metal prices over the last few months together with the
lower level of sterling compared to the United States dollar are also expected
to be positive for the project economics. The study is nearing completion and
is expected that the report will be available shortly.  When the report is
completed Anglesey will commence discussions with interested funding partners
with a view to moving the project on to the next stage of development aimed at
bringing the mine in to production.

Bill Hooley, CEO, stated “We are very pleased to announce this financing
which shows the continued support for Anglesey Mining and for its projects
from sophisticated institutional investors in the resource industry.  We
believe that such support is both positive for the development of the project
and as an indicator that investor interest in the base metals sector has
returned and that the outlook for the metals that will be produced from Parys
Mountain is positive”.

The directors have authorised the issue of the new shares under the
dispensation approved at the last AGM on 28th September 2016.  The new
ordinary shares of 1 pence each to be issued in respect of this transaction
will rank pari passu with the existing ordinary shares of the company. The
transaction is conditional on the admission of the new ordinary shares to the
Official List and to trading on the London Stock Exchange’s main market.

Application will be made for these shares to be admitted to both the Official
List and to trading on the London Stock Exchange’s main market for listed
securities and it is expected that such admission will become effective and
dealings will commence on or 30 March 2017.

Following the allotment of these new ordinary shares becoming unconditional,
the issued ordinary share capital of the company will be 177,608,051 ordinary
shares of 1 pence each with voting rights; there are no shares held in
treasury.  This figure may be used by shareholders as the denominator for the
calculations which will determine whether they are required to notify their
interest in the company, or any change to that interest, under the Financial
Conduct Authority’s Disclosure and Transparency Rules.

About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned
Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported
resource of 2.1 million tonnes at 6.9% combined base metals in the indicated
category and 4.1 million tonnes at 5.0% combined base metals in the inferred
category

Anglesey holds a 6% interest and management rights to the Grangesberg Iron
project in Sweden, together with a right of first refusal to increase its
interest by a further 51%.

Anglesey also holds 11.2% of Labrador Iron Mines Holdings Limited which has
direct shipping iron ore deposits in Labrador and Quebec and which has
recently completed its Plan of Arrangement.  The Plan implements a
restructuring of LIMH’s business to preserve its mining assets, continue its
mine site activities in a care and maintenance standby mode and position it to
refinance an orderly resumption of its iron ore mining activities when
economic conditions warrant.

For further information, please contact:

Bill Hooley, Chief Executive +44 (0)1492 541 981

Danesh Varma, Finance Director +44 (0)207 653 9881

Eliliot Hance, Beaufort Securities +44 (0)207 382 8300



Copyright (c) 2017 PR Newswire Association,LLC. All Rights Reserved