REG - Nativo Resources Plc - Placing and Broker Option

Nativo ResourcesAnnouncement

10/10/2024 07:00

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RNS Number : 6198H  Nativo Resources Plc  10 October 2024

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

10 October 2024

 

Nativo Resources Plc

("Nativo" or the "Company")

 

Placing to raise £412,000

Broker Option to raise up to a further £100,000

 

Nativo Resources plc (LON:NTVO), which has interests in precious metals mining
and production in Peru, is pleased to announce that it has conditionally
raised £412,000 by Peterhouse Capital Limited, ("Peterhouse") (before
expenses) by way of a placing (the "Placing") of a total of 16,480,000,000 new
ordinary shares of 0.1p each in the Company ("Ordinary Shares") at a price of
0.0025p per new Ordinary Shares (the "Issue Price") ("Placing Shares").
Proceeds of the Placing will be used to:

 

·    Progress production at the Tesoro Gold Mine ("Tesoro") through it's
50%-owned Peruivan joint venture, Boku Resources SAC ("Boku"), through
extension of the existing Bonanza shaft and development La Dorada, a second
shaft

·    Support design and planning work associated with the development of a
gold processing plant

·    The provision of working capital until Q2 2025

 

A further announcement on admission of the Placing Shares, Broker Option
Shares and Creditor Shares (both as referred to below) will be made in due
course, following the conclusion of the Broker Option process. The Placing
Shares, Broker Option Shares and Creditor Shares will be issued under the
Company's existing share authorities.

 

The Placing will provide the Company with the necessary funding to further
progress its Peruvian gold-mining projects as detailed above, and provide the
Company with further general working capital.

 

Stephen Birrell, Chief Executive Officer of Nativo, commented:

 

"Today's Placing will ensure Nativo is able to accelerate and expand
production at Tesoro and also provide essential working capital as we seek to
expand our capabilities through the development of a large-scale gold ore
processing plant on a local site. We would like to thank shareholders for
their continued support and look forward to updating them in due course."

 

Broker Option

 

In order to provide qualifying Nativo shareholders ("Existing Shareholders")
and other qualified investors with an opportunity to participate on the same
basis as the Placing (under identical terms to the Placing), the Company has
granted Peterhouse a Broker Option over 4,000,000,000 Broker Option Shares.
Full take up of the Broker Option Shares would raise a further £100,000 for
the Company, before expenses.

 

Existing Shareholders who hold shares in the Company and were on the register
of members as at the close of business at 4:30 p.m. on 9 October 2024, will be
prioritised for participation in the Broker Option (other than at the
discretion of Peterhouse) and all orders from such Existing Shareholders will
be accepted and processed by Peterhouse on a strictly "First Come, First
Served" basis. The Broker Option has not been underwritten. Peterhouse is
entitled to participate in the Broker Option as principal.

 

The Broker Option may be exercisable by Peterhouse on more than one occasion,
at any time from the date of this announcement to 4:30 p.m. UK time on 10
October 2024, at its absolute discretion, following consultation with the
Company. There is no obligation on Peterhouse to exercise the Broker Option or
to seek to procure subscribers for the Broker Option Shares. Peterhouse may
also, subject to prior consent of the Company, allocate new ordinary shares
after the time of any initial allocation to any person submitting a bid after
that time. Depending on demand the number of Broker Option Shares subject to
the Broker Option may be increased at the discretion of the Company with the
written agreement of Peterhouse.

 

Peterhouse may choose not to accept bids and/or to accept bids, either in
whole or in part, on the basis of allocations determined at their discretion
(after consultation with the Company) and may scale down any bids for this
purpose on such basis as Peterhouse may determine. Peterhouse may also,
subject to prior consent of the Company, allocate new Ordinary Shares after
the time of any initial allocation to any person submitting a bid after that
time.

 

The Broker Option Shares are not being made available to the public and none
of the Broker Option Shares are being offered or sold in any jurisdiction
where it would be unlawful to do so. No Prospectus will be issued in
connection with the Broker Option.

 

If the Broker Option is fully taken up, it will raise an additional £100,000
before expenses. If the Broker Option is not fully subscribed by 4:30 p.m. on
10 October 2024, orders from eligible investors will be satisfied in full, and
the balance of the Broker Option shall lapse. The Company will announce the
results of the Broker Option and the resultant shares in issue following its
close.

 

Subscription to Broker Option

 

To subscribe for Broker Option Shares, Existing Shareholders and other
qualified investors should communicate their bid to Peterhouse via their
stockbroker as Peterhouse cannot take direct orders from individual private
investors who are not existing clients. Existing Shareholders or other
interested parties who wish to register their interest in participating in the
Broker Option Shares should instruct their stockbroker to call Peterhouse on
STX: 76086 or 020 7469 0938 or 020 7469 0936 or 020 7220 9797. Each bid should
state the number of Broker Option Shares the Existing Shareholder or other
qualified investor wishes to subscribe for at the Placing Price.

 

Additional share issuances

 

It has also been agreed that a total of 580,645,161 new Ordinary Shares will
be issued at a price of 0.0031p per share, being the closing price as at 9
October 2004, as payment to certain creditors (the "Creditor Shares").

 

 

 

 

For further information please contact:

 Nativo Resources                                           Via Vigo Consulting

 Stephen Birrell, Chief Executive Officer                   nativo@vigoconsulting.com (mailto:nativo@vigoconsulting.com)

 Zeus Capital Limited (Nominated Adviser and Joint Broker)  Tel: +44 (0)20 3829 5000

 James Joyce

 James Bavister

 Isaac Hooper

 Peterhouse Capital Limited (Joint Broker)                  Tel: +44 (0)20 7469 0930

 Duncan Vasey

 Lucy Williams

Rose Greensmith

 Vigo Consulting (Investor Relations)                       Tel: +44 (0)20 7390 0234

 Ben Simons                                                 nativo@vigoconsulting.com (mailto:nativo@vigoconsulting.com)

 Peter Jacob

Anna Sutton

 

 

About Nativo Resources plc (formerly Echo Energy plc)

 

Following the partial divestment of its assets in Argentina, Nativo entered
into a 50:50 joint venture in Peru in July 2024 with an experienced local
partner for precious metals (gold/silver) mining and processing of gold ore
(own and third party production) and the cleaning of known tailings deposits
containing Measured and Indicated resources of gold and silver. Through the
JV, known as Boku Resources, Nativo has secured an opportunity to scale
operations in Peru, owning 50% of the production and resources.

 

Initially, Boku is establishing formalised artisanal and small mining
operations on its 100% held Tesoro Gold Mine, southern Peru, targeting early
cash flow generation by Q4 2024. The Company plans to establish its own gold
ore processing plant and, longer-term, to pursue its low capex strategies to
appraise and exploit tailings deposits to recover gold, and develop the Ana
Lucia Polymetallic concession.

 

Follow us on social media:

 

LinkedIn: https://uk.linkedin.com/company/nativoresources-plc
(https://uk.linkedin.com/company/nativoresources-plc)

X (Twitter): https://x.com/nativoresources (https://x.com/nativoresources)

 

 

 

 

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