REG - Mila Resources Plc - Amendment to Liontown CLN and Operational Update

Mila ResourcesAnnouncement

30/01/2024 07:00

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RNS Number : 2806B  Mila Resources PLC  30 January 2024

Mila Resources Plc / Index: LSE / Epic: MILA / Sector: Natural Resources

 

Certain information contained within this Announcement is deemed by the
Company to constitute inside information as stipulated under the Market Abuse
Regulation (EU) No. 596/2014 ("MAR") as applied in the United Kingdom. Upon
publication of this Announcement, this information is now considered to be in
the public domain.

 

30 January 2024

Mila Resources Plc

('Mila' or the 'Company')

Amendment to Liontown CLN and Operational Update

 

Mila Resources Plc (LSE:MILA), the post-discovery gold exploration
accelerator, is pleased to announce that, following the publication of its
Propspectus on 16 October 2023 and completion of its £2m fundraise on 9
November 2023, it has agreed with Liontown Resources Limited (ASX: LTR)
("Liontown") to amend the terms of the Convertible Loan Note issued to
Liontown on 26 July 2023 ("CLN").

 

On 26 July 2023 Liontown subscribed for A$100,000 unsecured convertible loan
notes issued by Mila.

Following the amendment Liontown has agreed that Mila will convert the
AS$100,000 into 5,147,475 fully paid Mila Ordinary Shares at a conversion
price of 1 pence per share.

 

In addition Mila has also agreed to issue Liontown warrants to subscribe for
up to a further 5,147,475 Ordinary Shares exerciseable at a price of 2 pence
per share at any time until 29 January 2027.

 

Operational Update - Liontown to Commence Work

Further to the announcements of 27 July 2023 and 11 October 2023, Liontown is
scheduled to commence exploration for lithium at the Kathleen Valley Gold
Project in Western Australia ('Kathleen Valley' or the 'Project') this week.
Liontown has commissioned a aerial imgery survey for its baseline studies to
comply with heritage and environmental regulations ahead of the sampling and
drilling works on the Project.

 

As previously announced, Liontown has identified several lithium targets in
the northern and central areas of the Project, which coincide with the gold
target areas previously identified by Mila.  Under the joint venture between
Liontown and Mila, Mila will be able to access and conduct gold and base metal
test work from the drilling core provided by Liontown drill programme. The
board of Mila expects that this will significantly reduce the overall cost and
timeframe of Mila's exploration activities within the coincident areas.

 

Further information regarding Liontown's activities and results will be
provided in due course.

 

Mark Stephenson, Executive Chairman of Mila commented: "Liontown's lithium
exploration activities in the northern part of our Kathleen Valley Project
will provide direct benefits to Mila and will provide invaluable data to us as
we plan our next phase of exploration across the wider project area, and begin
targeting the concentrated zones of high-grade gold mineralisation identified
in our recent drill programme.

 

"We look forward to receiving Liontown's data and analysis in the coming weeks
and will continue to report back to shareholders as in due course."

 

Admission

An application will be made for the 5,147,475 new Orindary Shares issued to
Liontown to be admitted to trading on the Official List and the London Stock
Exchange ("Admission") and Admission is expected to take place on or around
8.00a.m. on 2 February 2024.

 

Total Voting Rights

In accordance with the FCA's Disclosure Guidance and Transparency Rules, the
Company confirms that following Admission, the Company's enlarged issued
ordinary share capital will comprise 541,964,583 Ordinary Shares. The Company
does not hold any Ordinary Shares in Treasury. Therefore, following Admission,
this figure may be used by shareholders in the Company as the denominator for
the calculations to determine if they are required to notify their interest
in, or a change to their interest in the Company, under the FCA's Disclosure
Guidance and Transparency Rules.

 

**ENDS**

For more information visit www.milaresources.com or contact:

 Mark Stephenson              info@milaresources.com

 Mila Resources Plc
 Jonathan Evans               +44 (0) 20 7100 5100

 Tavira Financial Limited
 Nick Emerson                 +44 (0) 20 3143 0600

 SI Capital
 Damon Heath                  +44 (0) 20 3971 7000

 Shard Capital Partners LLP
 Susie Geliher                +44 (0) 20 7236 1177

 St Brides Partners Limited

 

 

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