REG - Ferro-Alloy Resrcs. - Issue of Equity

Ferro-Alloy ResourcesAnnouncement

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RNS Number : 8927P  Ferro-Alloy Resources Limited  07 July 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF THE MARKET
ABUSE REGULATION (EU) NO. 596/2014 (INCLUDING AS IT FORMS PART OF THE LAWS OF
ENGLAND AND WALES BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018
("MAR").

 

7 July 2025

Ferro-Alloy Resources Limited

("Ferro-Alloy", the "Group" or the "Company")

 

Issue of Equity

 

Ferro-Alloy Resources Limited (LSE:FAR), the vanadium producer and developer
of the large Balasausqandiq vanadium deposit in Southern Kazakhstan (the
"Balasausqandiq Project" or the "Project"), is pleased to announce that it has
issued a total of 16,666,667 ordinary shares of nil par value in the capital
of the Company ("New Shares"), raising gross proceeds of £1,000,000, having
received share subscriptions from investors including certain directors of the
Company and the Company's strategic shareholder Vision Blue Resources Limited
("VBR").

 

Commenting, Nick Bridgen, CEO of Ferro-Alloy Resources, said:

"This small equity raise, supported by our key shareholders, will help us to
optimise the carbon black substitute element of the Project and we look
forward to the full results of the Feasibility Study in September."

 

Issue of equity

The Company has issued a total of 16,666,667 ordinary shares of nil par value
in the capital of the Company, raising gross proceeds of £1,000,000, having
received share subscriptions from investors including certain directors of the
Company and the Company's strategic shareholder VBR (the "Subscription").

 

The New Shares are being issued at 6p per share representing a 19.5% discount
to the Company's closing mid-market share price as at 4 July 2025. The New
Shares are being issued under existing shareholder authority granted at the
Company's 2024 Annual General Meeting held on 23 October 2024.

 

Material related party transaction

Participation by Nicholas Bridgen, Andrey Kuznetsov, Christopher Thomas and
VBR in the Subscription constitutes a material related party transaction
pursuant to the Disclosure, Guidance and Transparency Rules. The Independent
Directors have considered the terms of the transaction and concluded they are
fair and reasonable insofar as shareholders are concerned (VBR is a person
closely associated with the Company's Chairman, Sir Mick Davis.)

The beneficial interest in the issued share capital of the Company of those
Company directors that have subscribed for New Shares will be as follows:

·    Nicholas Bridgen: 61,305,467 ordinary shares of nil par value in the
capital of the Company ("Ordinary Shares"), representing 12.01% of the issued
share capital of the Company (having subscribed for 1,833,334 New Shares)

·    Andrey Kuznetsov: 69,100,666 Ordinary Shares, representing 13.54% of
the issued share capital of the Company (having subscribed for 583,333 New
Shares)

·    Christopher Thomas: 7,340,753 Ordinary Shares, representing 1.44% of
the issued share capital of the Company (having subscribed for 500,000 New
Shares)

·    Having subscribed for 3,750,000 New Shares, VBR will hold 114,821,783
Ordinary Shares, representing 22.5% of the issued share capital of the
Company.

 

Admission

 

Applications have been made to the Financial Conduct Authority for the New
Shares to be admitted to the Official List and to the London Stock Exchange
for the New Shares to be admitted to trading on its Main Market for listed
securities ("Admission"). It is anticipated that Admission will become
effective, and that dealings in the New Shares will commence at or around 8.00
a.m. BST on 10 July 2025.

 

Total voting rights

 

Following Admission of the New Shares, the Company's issued ordinary share
capital will comprise 510,311,003 Ordinary Shares, with none held in treasury,
and therefore, the total number of Ordinary Shares in the Company with voting
rights will be 510,311,003. 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 applicable legal and
regulatory requirements.

 

 

ENDS

 

 

For further information, visit www.ferro-alloy.com or contact:

 

 Ferro-Alloy Resources Limited  Nick Bridgen (CEO) / William Callewaert (CFO)  info@ferro-alloy.com

 Shore Capital                  Toby Gibbs / Lucy Bowden                       +44 207 408 4090

 (Joint Corporate Broker)

 Panmure Liberum Limited        Scott Mathieson / John More                    +44 20 3100 2000

 (Joint Corporate Broker)

 BlytheRay (Financial PR)       Tim Blythe / Megan Ray / Will Jones            +44 20 7138 3204

                                                                               ferro-alloy@blytheray.com

 

Notes to Editors

About Ferro-Alloy Resources Limited:

The Company's operations are all located at the Balasausqandiq deposit in
Kyzylordinskoye Oblast in the South of Kazakhstan.

Balasausqandiq is a very large deposit, with vanadium as the principal product
together with the carbon black substitute ("CBS") and several by-products.
Owing to the nature of the ore, the capital and operating costs are very much
lower than for other vanadium projects.

The most recent mineral resource estimate for ore-body one (of seven) provided
an Indicated Mineral Resource of 32.9 million tonnes at a mean grade of 0.62%
vanadium pentoxide ("V(2)O(5)") equating to 203,364 contained tonnes of
V(2)O(5). In the system of reserve estimation used in Kazakhstan the reserves
are estimated to be over 70 million tonnes in ore-bodies 1 to 5, but this does
not include the full depth of ore-bodies 2 to 5, or the remaining ore-bodies
which remain substantially unexplored.

The grade of carbon in the deposit is over 8%. The carbon flows through to the
tailings from where it is concentrated, in a simple low-cost operation, into a
40% carbon product, the CBS, that can be used in place of carbon black as a
reinforcing filler in the making of rubber.

The Project will be developed in two phases, Phase 1 and Phase 2, with Phase 1
treating 1.65 million tonnes per year.

There is an existing concentrate processing operation at the site of the
Balasausqandiq deposit. The production facilities were originally created from
a 15,000 tonnes per year pilot plant, which was then expanded and adapted to
recover vanadium, molybdenum and nickel from purchased concentrates.
Alongside this operation, there is a well-equipped laboratory and highly
skilled technical team, who have already developed the technology that is
being built into the feasibility study and is further developing and
optimising processes needed for future vanadium and carbon operations. The
plant will operate only when profitable concentrates are available and, when
not operating as a production facility, will operate on an expanded basis as
an R&D centre.

 

 

 

 

The notifications below, made in accordance with the requirements of the UK
Market Abuse Regulation, provide further details.

 

Notification and public disclosure of transactions by persons discharging
managerial responsibilities and persons closely associated with them

 1    Details of the person discharging managerial responsibilities / person closely

    associated

 a)   Name                                                         Vision Blue Resources Limited

 2    Reason for the notification

 a)   Position/status                                              Vision Blue Resources Limited is a PCA of Ferro-Alloy Resources Limited's

                                                            Chairman, Sir Mick Davis, who is a person discharging managerial
                                                                   responsibilities

 b)   Initial notification /Amendment                              Initial notification

 3    Details of the issuer, emission allowance market participant, auction

    platform, auctioneer or auction monitor

 a)   Name                                                         FERRO-ALLOY RESOURCES LIMITED

 b)   LEI                                                          2138003T5CF6U9W7Z780

 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  Ordinary Shares

      Identification code                                          GG00BGDYDZ69

 b)   Nature of the transaction                                    Share subscription

 c)   Price(s) and volume(s)

                                                                                        Price(s)             Volume(s)
                                                                                        6p                   3,750,000

 d)   Aggregated information

      - Aggregated volume                                          N/A Single transaction

      - Price

 e)   Date of the transaction                                      7 July 2025

 f)   Place of the transaction                                     London Stock Exchange

 

Notification and public disclosure of transactions by persons discharging
managerial responsibilities and persons closely associated with them

 1    Details of the person discharging managerial responsibilities / person closely

    associated

 a)   Name                                                         Nicholas Bridgen

 2    Reason for the notification

 a)   Position/status                                              Executive Director of Ferro-Alloy Resources Limited

 b)   Initial notification /Amendment                              Initial notification

 3    Details of the issuer, emission allowance market participant, auction

    platform, auctioneer or auction monitor

 a)   Name                                                         FERRO-ALLOY RESOURCES LIMITED

 b)   LEI                                                          2138003T5CF6U9W7Z780

 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  Ordinary Shares

      Identification code                                          GG00BGDYDZ69

 b)   Nature of the transaction                                    Share subscription

 c)   Price(s) and volume(s)

                                                                                     Price(s)          Volume(s)
                                                                                     6p                1,833,334

 d)   Aggregated information

      - Aggregated volume                                          N/A Single transaction

      - Price

 e)   Date of the transaction                                      7 July 2025

 f)   Place of the transaction                                     London Stock Exchange

 

 

 

 

Notification and public disclosure of transactions by persons discharging
managerial responsibilities and persons closely associated with them

 1    Details of the person discharging managerial responsibilities / person closely

    associated

 a)   Name                                                         Andrey Kuznetsov

 2    Reason for the notification

 a)   Position/status                                              Executive Director of Ferro-Alloy Resources Limited

 b)   Initial notification /Amendment                              Initial notification

 3    Details of the issuer, emission allowance market participant, auction

    platform, auctioneer or auction monitor

 a)   Name                                                         FERRO-ALLOY RESOURCES LIMITED

 b)   LEI                                                          2138003T5CF6U9W7Z780

 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  Ordinary Shares

      Identification code                                          GG00BGDYDZ69

 b)   Nature of the transaction                                    Share subscription

 c)   Price(s) and volume(s)

                                                                                     Price(s)          Volume(s)
                                                                                     6p                583,333

 d)   Aggregated information

      - Aggregated volume                                          N/A Single transaction

      - Price

 e)   Date of the transaction                                      7 July 2025

 f)   Place of the transaction                                     London Stock Exchange

 

 

Notification and public disclosure of transactions by persons discharging
managerial responsibilities and persons closely associated with them

 1    Details of the person discharging managerial responsibilities / person closely

    associated

 a)   Name                                                         Christopher Thomas

 2    Reason for the notification

 a)   Position/status                                              Non-Executive Director of Ferro-Alloy Resources Limited

 b)   Initial notification /Amendment                              Initial notification

 3    Details of the issuer, emission allowance market participant, auction

    platform, auctioneer or auction monitor

 a)   Name                                                         FERRO-ALLOY RESOURCES LIMITED

 b)   LEI                                                          2138003T5CF6U9W7Z780

 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  Ordinary Shares

      Identification code                                          GG00BGDYDZ69

 b)   Nature of the transaction                                    Share subscription

 c)   Price(s) and volume(s)

                                                                                     Price(s)          Volume(s)
                                                                                     6p                500,000

 d)   Aggregated information

      - Aggregated volume                                          N/A Single transaction

      - Price

 e)   Date of the transaction                                      7 July 2025

 f)   Place of the transaction                                     London Stock Exchange

 

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