REG - Strategic Minerals - Result of Placing

Strategic MineralsAnnouncement

16/04/2025 08:30

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RNS Number : 2663F  Strategic Minerals PLC  16 April 2025

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS NOT FOR PUBLICATION,
RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR
INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA
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CONSTITUTE A BREACH OF ANY APPLICABLE LAW OR REGULATION.

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND DOES NOT ITSELF
CONSTITUTE A PROSPECTUS OR OFFERING MEMORANDUM OR AN OFFER FOR SALE OR
SUBSCRIPTION IN RESPECT OF ANY SECURITIES IN THE COMPANY. THIS ANNOUNCEMENT
DOES NOT CONSTITUTE OR CONTAIN ANY INVITATION, SOLICITATION, RECOMMENDATION,
OFFER OR ADVICE TO ANY PERSON TO SUBSCRIBE FOR, OTHERWISE ACQUIRE OR DISPOSE
OF ANY SECURITIES OF STRATEGIC MINERALS PLC IN ANY JURISDICTION WHERE TO DO SO
WOULD BREACH ANY APPLICABLE LAW OR REGULATION.

THE 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 AS IT FORMS PART OF UK DOMESTIC LAW PURSUANT TO THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED. UPON THE PUBLICATION OF
THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS
CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

16 April 2025

Strategic Minerals Plc

("Strategic Minerals" or the "Group")

 

Result of Placing

 

Oversubscribed Placing with strong investor support

 to accelerate development of the Redmoor Tungsten-Tin-Copper project,
Cornwall

 

Strategic Minerals plc (AIM: SML; USOTC: SMCDF), an international mineral
exploration and production company, announces that, further to its
announcement of 7.00 a.m. today (the "Announcement"), it has successfully
completed and closed the Placing.

 

The Placing, which was oversubscribed, has raised, in aggregate, gross
proceeds of £1m through the placing of 333,333,333 new Ordinary Shares to
certain investors at a price of 0.3 pence per share (the "Placing Shares").
The Placing Price represents a discount of 25 per cent. to the Closing Price
of 0.4 pence per Ordinary Share on 15 April 2025, being the latest practicable
business day prior to the publication of the Announcement.

 

The net proceeds of the Placing will be principally used to progress
activities at the Company's Redmoor Tungsten-Tin-Copper Project in Cornwall
and for working capital purposes.

 

The allotment and issue of the Placing Shares is conditional, inter alia,
upon:

 

•      the passing, without amendment, of the Resolutions at the
General Meeting;

•      Admission of the Placing Shares becoming effective by no later
than 8.00 a.m. on 6 May 2025 (or such later time and / or date as the Company
and the Joint Bookrunners shall agree, not being later than 30 May 2025);

•      the delivery by the Company to the Joint Bookrunners of certain
documents required under the Placing Agreement;

•      the Company having fully performed its obligations under the
Placing Agreement to the extent that such obligations fall to be performed
prior to Admission of the Placing Shares; and

•      the Placing Agreement not having been terminated in accordance
with its terms prior to Admission.

 

A notice convening the General Meeting is expected to be issued shortly.

 

Charles Manners, Chairman of Strategic Minerals, commented:

"We are delighted with the response from investors to the opportunity to
accelerate development of a potentially world class, high-grade, polymetallic
tungsten project right here in the UK.

 

"The oversubscribed Placing wholly supports the match grant funding from the
UK Government announced last week, delivering Strategic Minerals' shareholders
over £1.5 million of exploration budget over the next 12 months, culminating
in the formulation of an investment-ready business case and delivery plan for
moving Redmoor toward prefeasibility.

 

"Tungsten is essential in defence, electronics, and manufacturing industries
and recent global events have underscored the importance of diversification of
supply. We look forward to sharing progress on the work programme as we focus
on scaling the opportunity in Cornwall."

 

Admission and Total Voting Rights

Subject to the Resolutions being passed at the General Meeting, application
will be made to the London Stock Exchange for admission of the Placing Shares
to trading on AIM ("Admission"). It is expected that Admission will become
effective and dealings in the Placing Shares will commence on AIM at 8.00 a.m.
on or around 6 May 2025 (or such later date as may be agreed between the
Company and the Joint Bookrunners, but no later than 30 May 2025).

The Placing Shares will be issued fully paid and will rank pari passu in all
respects with the Company's existing Ordinary Shares.

Following Admission, the total number of Ordinary Shares in the capital of the
Company in issue will be 2,349,297,949 with voting rights. This figure may be
used by shareholders 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 Company's issued share capital pursuant to the
Company's Articles.

Capitalised terms used but not otherwise defined in this announcement shall
have the meanings ascribed to such terms in the Announcement, unless the
context requires otherwise.

For further information on the Company, please
visit www.strategicminerals.net (http://www.strategicminerals.net)  or
contact:

 For further information, please contact:

 Strategic Minerals plc                                                    +44 (0) 207 389 7067
 Mark Burnett
 Executive Director
 Website:                  www.strategicminerals.net (http://www.strategicminerals.net/)
 Email:                    info@strategicminerals.net (mailto:info@strategicminerals.net)

 Follow Strategic Minerals on:
 X:                        @SML_Minerals (https://twitter.com/SML_Minerals)
 LinkedIn:                 https://www.linkedin.com/company/strategic-minerals-plc
                           (https://www.linkedin.com/company/strategic-minerals-plc)

 SP Angel Corporate Finance LLP                                            +44 (0) 20 3470 0470
 Nominated Adviser, Joint Broker and Bookrunner
 Matthew Johnson/Charlie Bouverat/Grant Barker

 Zeus Capital Limited                                                      +44 (0) 203 829 5000

 Joint Broker and Bookrunner

Harry Ansell/ Katy Mitchell

 Vigo Consulting                                                           +44 (0) 207 390 0234
 Investor Relations
 Ben Simons/Peter Jacob/Anna Sutton
 Email:                    strategicminerals@vigoconsulting.com
                           (mailto:strategicminerals@vigoconsulting.com)

 

Notes to Editors

About Strategic Minerals Plc

 

Strategic Minerals plc (AIM: SML; USOTC: SMCDY) is an AIM-quoted, producing
minerals company, actively developing strategic projects in the UK, United
States and Australia.

In 2019, the Company completed the 100% acquisition of Cornwall Resources
Limited ("CRL") and the Redmoor Tungsten-Tin-Copper Project.

The Redmoor Project is situated within the historically significant Tamar
Valley Mining District in Cornwall, United Kingdom, with a JORC Compliant
(2012) Inferred Mineral Resource Estimate published 14 February 2019:

 

 Cut-off (SnEq%)          Tonnage (Mt)  WO(3)  Sn    Cu    Sn Eq(1)  WO(3) Eq

                                        %      %     %     %         %
 >0.45 <0.65              1.50          0.18   0.21  0.30  0.58      0.41
 >0.65                    10.20         0.62   0.16  0.53  1.26      0.88
 Total Inferred Resource  11.70         0.56   0.16  0.50  1.17      0.82

1 Equivalent metal calculation notes; Sn(Eq)% = Sn% x 1 + WO3% x 1.43 + Cu% x
0.40. WO(3)(EQ)% = Sn% x 0.7 + WO(3) + Cu% x 0.28.  Commodity price
assumptions: WO3 US$ 33,000/t, Sn US$ 22,000/t, Cu US$ 7,000/t.  Recovery
assumptions: total WO3 recovery 72%, total Sn recovery 68% & total Cu
recovery 85% and payability assumptions of 81%, 90% and 90% respectively

More information on Cornwall Resources can be found at:
https://www.cornwallresources.com (https://www.cornwallresources.com)

In September 2011, Strategic Minerals acquired the distribution rights to the
Cobre magnetite project in New Mexico, USA, through its wholly owned
subsidiary Southern Minerals Group ("SMG").  Cobre has been in production
since 2012 and continues to provide a sustainable revenue stream for the
Company.

In March 2018, the Company completed the acquisition of the Leigh Creek Copper
Mine ("LCCM") situated in the copper rich belt of South Australia.  The
Company continues seek opportunities to monetise the asset.

 

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