REG - Zanaga Iron Ore - Buyback of Glencore Shares and Board Change

Zanaga Iron OreAnnouncement

13/03/2025 09:30

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RNS Number : 5611A  Zanaga Iron Ore Company Ltd  13 March 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
THE MARKET ABUSE REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW
BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("MAR"), AND IS
DISCLOSED IN ACCORDANCE WITH THE COMPANY'S OBLIGATIONS UNDER ARTICLE 17 OF MAR

13 March 2025

 

Zanaga Iron Ore Company Limited

("ZIOC" or the "Company")

 Buyback of Glencore Shares, Board Change and Termination of Material
Agreements

 

Zanaga Iron Ore Company Limited (AIM: ZIOC) is pleased to announce the
completion of the buyback ("Buyback") of 290,843,718 ordinary shares of the
Company ("Ordinary Shares") held by Glencore Projects Pty Limited ("Glencore")
("Glencore Shares") in accordance with the terms of a share purchase agreement
dated 1 March 2025 ("Buyback Agreement").

Pursuant to the Buyback Agreement, the Company has purchased all the shares
held by Glencore at US$0.0516 per share (approximately 4.16 pence per share)
for an aggregate purchase price of US$15.0 million. All Ordinary Shares
repurchased from Glencore will be cancelled later today. The Company has also
applied to have the admission to trading on AIM of the Glencore Shares
cancelled ("Cancellation") and Cancellation is expected to occur on Monday 17
March 2025.

The Company also announces that pursuant to the completion of the Buyback, the
existing Relationship Agreement between the Company and Glencore, and the
offtake agreement between the Company's wholly owned subsidiary MPD Congo S.A,
the Company and Glencore International AG have been terminated.

The Company also announces Mr. Peter Hill has resigned as a director of the
Company. The Board would like to thank Mr Hill for his valuable service and
consistent support for the Company and the long-term objectives of the
Company's iron ore project.

Total Voting Rights

Following completion of the Buyback and cancellation of the Glencore Shares,
the total number of Ordinary Shares and voting rights in the Company will be
722,740,460 and 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 under the
FCA's Disclosure Guidance and Transparency Rules. The Company does not hold
any shares in treasury.

As a result of the cancellation of the Buyback Shares, each shareholders'
percentage shareholding will increase and accordingly, each shareholder should
ensure that they comply with their obligations to disclose interests in the
total voting rights of the Company.

Further announcements will be made in due course and as required as Second
Admission of the fundraise announced on 3 March 2025 is completed.

Martin Knauth, CEO of ZIOC, commented:

"I'm pleased that this process has been finalised in line with our
expectations, and I would like to reiterate our thanks to Glencore for their
support and positive engagement around this transaction.

"Now that these strategic changes have been enacted, we are well placed to
proceed with our drive toward a construction decision and the formation of a
construction consortium. I look forward to outlining these key processes,
pathways and initiatives at our upcoming Investor Day."

Investor Day

The management team will update shareholders at the Investor Day on 18 March
2025, where it will provide further clarity on the ongoing strategic review
process, financing pathway, and key operational updates and initiatives.

To register for the Investor Event please follow the link below:

Registration link: Zanaga Iron Ore Company Investor Day, Tue, Mar 18, 2025 at
5:00 PM
(https://www.eventbrite.co.uk/e/corporate-update-from-zanaga-iron-ore-company-limited-tickets-1248047747409?aff=oddtdtcreator)

 

 

For further information, please contact:

 

 

 Zanaga Iron Ore Company Limited                             Andrew Trahar

 Corporate Development and Investor Relations Manager        +44 20 3916 5021

 Panmure Liberum Limited                                     Scott Mathieson / John More / Josh Borlant

 Nominated Adviser, Financial Adviser and Corporate Broker   +44 20 3100 2000

 Shard Capital Partners LLP                                  Damon Heath

 Corporate Broker                                            +44 20 7186 9952

 BlytheRay                                                   Tim Blythe / Megan Ray / Will Jones

 Public Relations                                            +44 20 7138 3204

 

ENDS

About ZIOC:

Zanaga Iron Ore Company Limited (AIM ticker: ZIOC) is an iron ore exploration
and development company, with the Company's flagship asset being its 100%
owned Zanaga Iron Ore Project located in the Republic of Congo, for which
the Government Mining Licence, Environmental Permit and Mining Convention are
all in place.

The Zanaga Iron Ore Project is a world-class asset with a 6.9 billion tonne
resource and 2.1 billion tonne reserve, designed for 30Mtpa production of
high-grade (66-68.5% Fe) pellet feed with very low levels of impurities. A
2024 Feasibility Study reaffirmed its robust economics. When fully ramped,
Phase 1 and Phase 2 combined could make Zanaga one of the largest iron ore
mines globally. With all key permits in place, Zanaga is positioned to
capitalise on growing demand for high-quality, low-impurity iron ore,
leveraging low operating costs and a cost-efficient slurry pipeline to the
port.

In light of the changes in the world's economy, and the growing demand for
low-carbon steel production, the Zanaga Project is well-placed to become one
of the largest producers of high grade premium pellet feed iron ore.

 

The Zanaga Iron Ore Company Limited LEI number is 21380085XNXEX6NL6L23.

 

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