REG - MetalNRG PLC - Strategic Business Review Update

MetalnrgAnnouncement

28/09/2023 07:00

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RNS Number : 9143N  MetalNRG PLC  28 September 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET
ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) ("UK MAR"). UPON THE
PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK
MAR) IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

 28 September 2023

 

 

MetalNRG plc

(the "Company" or "MetalNRG")

 

Strategic Business Review Update

 

 

MetalNRG plc (LON:MNRG), the natural resources and energy investment company,
is pleased to announce the completion of its strategic business review which
it announced on 4 September2023. With the Board's support behind the review,
MetalNRG now moves into implementation.

 

The Company's executive team is anticipating a potential bull-market cycle in
the metals & mining sector and MetalNRG is eager to position itself to
benefit from the predicted uptick. The Board has confirmed its decision to
concentrate growth and value creation efforts on the mining sector.

 

MetalNRG is driven to build a global natural resources business, delivering
industry leading returns and sustainable dividends to shareholders.

 

The Company will create shareholder value through indirect and direct
investments targeting outright acquisitions, and majority or minority
interests, in three types of projects:

 

1.    Late-stage development projects, that will be in production within 12
to 18 months and offer additional upside post-production

2.    Projects that are currently in production and offer substantial
exploration and development upside

3.    Projects that offer blue sky growth opportunities that could become
company-making mines of the future.

 

 

MetalNRG will concentrate on gold and copper projects, alongside other
precious and strategic metals, which face high demand due to global
macroeconomic, energy transition, and technology trends. The Company's
Executive team has reviewed more than 100 projects globally and has now
reduced this extensive list to a short-list of around 10 projects which
MetalNRG plans to progress. These projects include a number of potential
reverse takeover targets which are  being evaluated.

 

 

To support our strategic intent and provide the Company with access to two of
the most important markets in natural resources, MetalNRG has appointed Oak
Hill Financial Inc in Canada to assess the option of dual listing MetalNRG on
the Toronto Stock Exchange.

 

Since its beginnings in 2014, Oak Hill Financial has consistently anticipated
and responded to the changing needs of Canadian markets.  Through their
history of asset management distribution, corporate advisory, and investor
relations, they have provided asset managers and companies with a
comprehensive and innovative selection of services.

 

The strategic review recognised the value of a main board London Stock
Exchange listing. More importantly, the Board believes that the Company is
currently undervalued and that existing shareholders will be protected when a
reverse takeover is implemented. In fact the Board anticipates current
shareholders to be offered a premium to current share price upon RTO.

 

As a result of the Company's strategic review, our partnership with EQTEC and
our investment in EQTEC Italia is considered non-core and the Company will be
seeking the most suitable exit from this investment and we will inform the
market of our progress on this. The Company's Gold Ridge project is currently
under review as we await the final results from the Geo Sampling to be
completed before the summer. These results, which should be delivered by
Mid-October, will form the basis of our decision on Gold Ridge.

 

Rolf Gerritsen commented: "Working with Chris Chadwick and the Executive team
has been extremely exciting and I am now looking forward to driving the
implementation plan forward. I am working to secure the Company's future,
deliver value to existing and future shareholders and build a strong
sustainable business".

 

Chris Chadwick commented: "This update demonstrates the progress made by the
combined team since we joined Rolf and the MetalNRG Board. We believe we have
a strong value proposition that could be strongly enhanced with a potential
dual listed structure. We are now entering  the next phase where we will
 focus on executing the new strategy."

 

 

Ends -

 

 

For further information, please contact:

 MetalNRG PLC:
 Rolf Gerritsen  +44 (0) 20 3709 8740
 Chris Chadwick  +44 (0) 20 3709 8740
 Peterhouse Capital Limited - Joint Broker:
 Lucy Williams   + 44 (0) 207 469 0930
 Duncan Vasey    + 44 (0) 207 469 0930
 S I Capital Limited - Joint Broker:
 Nick Emerson    +44 (0) 1483 413500

 

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