REG - Bluebird Mining Vnt. - Funding Update and Investor Meet 07 Oct

Bluebird Mining VenturesAnnouncement

03/10/2024 12:00

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RNS Number : 8528G  Bluebird Mining Ventures Limited  03 October 2024

Bluebird Mining Ventures Ltd / EPIC: BMV.L / Market: FTSE / Sector: Mining

3 October 2024

Bluebird Mining Ventures Ltd

('Bluebird' or 'the Company')

 

Funding Update

&

Investor Meet at 09:00 BST on 07 Oct 2024

 

Bluebird Mining Ventures Ltd, a gold project development company, is pleased
to announce an update on the Company's £350,000 loan ('the Loan') following
the announcement of 30 September 2024 with regards to the binding term sheet
that had been signed.

 

The Company has now signed a definitive loan agreement with Catalyse
Capital.  The loan will be disbursed in 12 equal monthly tranches commencing
on the 10 October 2024.  The Board believes that the Company is materially
undervalued and as such, the Loan allows Bluebird to receive capital without
having to utilise the equity capital markets, where it believes a potential
funding would be at a significant discount to the current price and therefore
unnecessarily dilutive.

 

As announced, to enable shareholders and new investors to participate
alongside the Directors who are converting fees totalling £286,076 owed into
equity, the Company is conducting an equity raise ("the Placing"), whereby any
net cash sums received will be netted on a pro rata basis against the loan
capital to be drawn, reducing the total loan commitment.  This ensures that
the Company will receive funding of at least £350,000 which will provide
sufficient working capital through to the last quarter of 2025 and anticipated
progress at both the Company's Korean projects and Batangas in the
Philippines.

 

The Placing is being conducted at a price of 1p per share through a book
building exercise that will now conclude close of business on 9 October 2024.
The Placing has an attached one-for-one warrant with an exercise price of
1.25p per share and a 12-month life.  These warrants carry an accelerator
clause whereby, if the 10-day Volume Weighted Average Price (VWAP) is above
1.5p per share for 10 consecutive days, then the holder must either exercise
the warrant or it becomes void.

 

Due to the complexity of the placing and inclusion of warrants, the Company
has decided it would not be appropriate to include a retail offer.
Accordingly, the Placing is being solely and fully coordinated by the
Company's broker SI Capital.  To subscribe for the Placing Shares, existing
shareholders and other qualified investors should communicate their interest
to SI Capital via their stockbroker as SI Capital cannot take direct orders
from individual private investors who are not existing clients. Each bid
should state the number of Placing Shares they wish to subscribe for at the 1p
per share Placing Price.  SI Capital's contact details are as follows:

 

Sam Lomanto: Tel: 01483 41500

Nick Emerson: Tel: 01483 41500

 

Shareholders can view the Company's most recent presentation via the following
link.

https://bluebirdmv.com/wp-content/uploads/2024/06/Investor-Meet-Presentaion-June-24.pdf
(https://bluebirdmv.com/wp-content/uploads/2024/06/Investor-Meet-Presentaion-June-24.pdf)

 

Investor Meet:

Bluebird Executive Director and Interim CEO Aidan Bishop said, will provide a
live presentation via Investor Meet Company on 07 October 2024, 09:00 BST.
The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
06 October 2024, 09:00 BST, or at any time during the live presentation.

 

Investors can sign up to Investor Meet Company for free and add to meet
Bluebird Mining Ventures Ltd via:

 

https://www.investormeetcompany.com/bluebird-mining-ventures-ltd/register-investor
(https://www.investormeetcompany.com/bluebird-mining-ventures-ltd/register-investor)

 

Investors who already follow Bluebird Mining Ventures Ltd on the Investor Meet
Company platform will automatically be invited.

 

Bluebird Executive Director and Interim CEO Aidan Bishop said, "We have
secured the £350,000 loan to provide ongoing working capital as we believe
the value of our portfolio is not reflected in the price. The loan funding
commitment effectively underwrites the funding requirements of the Company for
the upcoming 12 months.  I would like to thank both past and present
management for their continued commitment to the Company demonstrated by their
agreement to converting fees, which have accrued over the past few years, on
the same terms as the Placing."

 

"We hope that progress on the ground will provide a rerating for our stock
price for the benefit of all stakeholders and look forward to updating the
market on positive developments as they materialise."

 

This announcement contains inside information for the purposes of article 7 of
the market abuse regulation EU 596/2014 ("MAR").

 

**ENDS**

 

For further information please visit https://bluebirdmv.com or contact:

Jonathan Morley-Kirk    Bluebird Mining Ventures Ltd     Email:
jmk@bluebirdmv.com (mailto:colin@bluebirdmv.com)

Nick Emerson                    SI Capital
 
Tel: 01483413500

 

About Bluebird

London listed Bluebird Mining Ventures Ltd is focused on developing high
grade, low capex gold projects. With a cumulative estimated 1.8M oz Au across
three projects, including two historic mines in South Korea and a development
project in the Philippines, the Company looks to JV its assets with local
partners to provide free carry structures to advance its assets to production.

 

Bluebird recognised the most effective strategy to develop projects in South
Korea and the Philippines involved adopting a Joint Venture model; by securing
local partners with in-country operational knowledge and investment capital at
the project level, assets can be advanced to production on a de-risked basis.

 

The Company has three JV's providing a cumulative c.US$9m investment: US$5m
for the development of the historic Gubong Gold Mine and US$2m for the Kochang
Gold and Silver Mine, in South Korea and c.US$2m (funding to a production
decision) for the Batangas Gold Project in the Philippines. With committed
development capital at the project level, the Company has free carries to
production/mine construction on all its projects, which reduces its reliance
on the international capital markets.

 

Bluebird continues to provide technical assistance to these projects,
utilising its internationally experienced mining team, which has a track
record of bringing gold projects into production across Southeast Asia.  Both
JV parties recognise each sides competencies and the mutual belief that
together they can bring the projects into production and generate significant
value for all stakeholders. Importantly the management team has personally
invested cUS$2 million into the Company, highlighting their belief in the
quality of the portfolio.

 

Gubong, which was historically the second largest gold mine in South Korea has
9 granted tenements covering c.25 sq km.  Gubong is moderately dipping with 9
veins extending 500m below surface and known to extend at least a further
250m. However, the production opportunity for Bluebird prior to looking at
deepening the mine is the 25 levels already developed with all the remnants
and unmined areas left by the original miners.  The 25 levels extend over
120km in total length which indicates the size of the opportunity. The Korea
Resources Corporation ('KORES') estimated 2.34M tonnes at some 7.3g/t Au
garnered from 57 drill holes over 17,715.3 metres.  With additional sampling,
mapping, pit modelling and grade analysis, plus the fact that Gubong is an
orogenic deposit, which typically have a depth of 2km compared to the current
depth of 500m, the Board believe it has a geological potential of 1 million +
oz Au in-situ, plus an estimated additional 300,000 oz Au from satellite ore
bodies.

 

Kochang is an epithermal vein deposit with parallel vertical ore bodies
covering 8.3 sq km that reportedly produced 110,000 oz of gold and 5.9 million
oz of silver between 1961 and 1975.  Consisting of a gold and silver mine,
there are currently four main veins and several parallel subsidiary veins vein
which have been identified, as well as a newly identified cross-cutting vein.
Historic drilling indicates the veins continue to depth below the current 150m
mine and mapping shows the veins on surface providing potential above and
below the old workings. The veins extend to the NE providing a strike length
of 2.5km with 600m between the two mines not exploited.  There is potential
to expand operations to the southwest/northeast and to depth, as well as
exploit the already mined areas. The total resource potential is between
550,000 and 700,000 tonnes, with a range of grades between 5.2 g/t to 6.6 g/t
gold, and 27.3 g/t to 34.8 g/t silver.  Following the granting of a Mountain
Use permit, there is an estimated 6-to-9-month development time to trial
mining.

 

Batangas is a 1,160-hectare licence with a 25-year Mineral Production Sharing
Agreement ('MPSA') granted. The Project has a current JORC compliant resource
of 440,000 ounces, including a maiden ore reserve of 128,000 ounces (including
silver credits) as well as multiple additional targets providing extensive
resource upside. Exploration expenditure to the tune of c.$20m has already
been invested.

 

Work is focused on completing Exploration and Environmental Work Programmes
initially targeting the high-grade 1,164-hectares Lobo licence.  This has an
initial Probable JORC Compliant Ore Reserves of 171,000 tons at 6.6 g/t for
36,000 ounces of gold excluding silver credits based primarily on the South
West Breccia ('SWB') area of the licence that can be mined in the first 18
months of any operation.  There is an Indicated resource of 82,000 oz Au that
is perceived as easily convertible.  Additionally, the area has multiple
epithermal and high-grade targets already identified for resource expansion
with 15km of identified mineralised structures with results across the nine
identified targets yielding excellent results.  These include 2.1m @14.4g/t
Au and 3m at 12.1g/t at West Drift, which already has an Indicated and
Inferred resource of 350,000t at 3 g/t Au, 8.35m at 18.3 g/t Au and 6.0m at
31.2 g/t Au located immediately west of the SWB Extension, 19m surface channel
sample with intersections of 19m grading 9.8 g/t Au at Ulupong and trenching
at Limestone Target yielded 3.5m at 25.9 g/t Au including 1.5m at 56.8 g/t Au.

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