TIDMPREM
RNS Number : 4050K
Premier African Minerals Limited
25 August 2023
Premier African Minerals Limited / Ticker: PREM / Index: AIM /
Sector: Mining
For immediate release
25 August 2023
Premier African Minerals Limited
Funding of Zulu Project
The Board of Premier African Minerals Limited ("Premier" or the
"Company") is pleased to announce a placing and subscription today
to raise GBP4,000,000 before expenses at an issue price of 0.35
pence per new ordinary share for the ongoing Zulu Lithium and
Tantalum Project ("Zulu") Pilot Optimisation where the Company is
targeting revenue generating production by November 2023.
George Roach, CEO commented: " Based on current projections this
funding and the arrangements set out below is expected to see Zulu
pass through the current interim remedial situation and allow the
Company to reach target nameplate production at Zulu.
I am appreciative of the support from our investors and from our
Contractors who effectively are making their own statement of
confidence going forward with this investment."
Contractor Settlement
The two biggest costs associated with Zulu ongoing development
are in respect of the open pit mining contractor, JR Goddard
Contracting (Pvt) Ltd and the Zulu design, procurement,
installation, and commissioning contractor, Stark International
Projects Limited (collectively the "Contractors"), who have now
both agreed to collectively accept payment of a limited number of
future invoices until the end of December 2023 ("Term") in new
ordinary shares of the Company at the closing middle market price
on the day prior to settlement ("Settlement Shares").
Placing
Premier has today issued by way of a placing and direct
subscription ("Placing"), conditional on admission, 1,142,857,143
new ordinary shares of nil par value ("Placing Shares") at a
Placing price of 0.35 pence per Placing Share. The Placing Shares
will, when issued, rank pari passu in all respects with the
existing ordinary shares. The placing was undertaken by CMC Markets
UK Plc ("CMC Markets") acting as the Company's sole placing agent
in respect of the Placing, and the direct institutional
subscription was arranged by Fox-Davies Capital Limited.
For further details about CMC Markets UK Plc including their CMC
CapX platform please visit https://www.cmcmarkets.com/capx.
Application will be made for the Placing Shares to be admitted
to trading on AIM and admission is expected to take place on or
around 31 August 2023.
The Placing has been arranged within the Company's existing
share authorities. Premier intends to use the proceeds of the
placing principally to assist with the ongoing optimisation of the
plant at Zulu and general working capital. In particular, Premier
anticipates using the proceeds to meet the costs associated with
the interim mill installation and associated thickener that is
expected to collectively increase production to approximately 50%
of design capacity from October 2023, ongoing pit development to
clear the weathered zone, and general operational costs to cover
the current interim period until the end November when first
revenues are anticipated at Zulu.
Total Voting Rights
Following the issue of the Placing Shares, the Company's issued
share capital consists of 23,978,906,266 Ordinary Shares, with
voting rights. This figure may be used by shareholders in the
Company as the denominator for the calculation by which they will
determine if they are required to notify their interest in, or a
change to their interest in, the share capital of the Company under
the Financial Conduct Authority's Disclosure and Transparency
Rules.
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 as it forms part of
UK Domestic Law by virtue of the European Union (Withdrawal) Act
2018 ("UK MAR").
The person who arranged the release of this announcement on
behalf of the Company was George Roach.
A copy of this announcement is available at the Company's
website, www.premierafricanminerals.com
Enquiries:
Premier African Minerals Tel: +27 (0) 100
George Roach Limited 201 281
Michael Cornish / Beaumont Cornish Limited Tel: +44 (0) 20
Roland Cornish (Nominated Adviser) 7628 3396
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Tel: +44 (0) 20
Douglas Crippen CMC Markets UK Plc 3003 8632
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Toby Gibbs/Rachel Shore Capital Stockbrokers Tel: +44 (0) 20
Goldstein Limited 7408 4090
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Tel: +44 (0) 20
Jerry Keen Fox-Davies Capital Limited 3884 7447
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Important notice
Beaumont Cornish Limited ("Beaumont Cornish"), which is
authorised and regulated in the United Kingdom by the Financial
Conduct Authority, is acting as nominated adviser to the Company in
connection with the Placing and Subscription and will not regard
any other person as its client and will not be responsible to
anyone else for providing the protections afforded to the clients
of Beaumont Cornish or for providing advice in relation to such
proposals. Beaumont Cornish has not authorised the contents of, or
any part of, this document and no liability whatsoever is accepted
by Beaumont Cornish for the accuracy of any information or opinions
contained in this document or for the omission of any information.
Beaumont Cornish as nominated adviser to the Company owes certain
responsibilities to the London Stock Exchange which are not owed to
the Company, the Directors, Shareholders or any other person.
Forward Looking Statements
Certain statements in this announcement are or may be deemed to
be forward looking statements. Forward looking statements are
identi ed by their use of terms and phrases such as "believe"
"could" "should" "envisage" "estimate" "intend" "may" "plan" "will"
or the negative of those variations or comparable expressions
including references to assumptions. These forward-looking
statements are not based on historical facts but rather on the
Directors' current expectations and assumptions regarding the
Company's future growth results of operations performance future
capital and other expenditures (including the amount. Nature and
sources of funding thereof) competitive advantages business
prospects and opportunities. Such forward looking statements re ect
the Directors' current beliefs and assumptions and are based on
information currently available to the Directors. A number of
factors could cause actual results to differ materially from the
results discussed in the forward-looking statements including risks
associated with vulnerability to general economic and business
conditions competition environmental and other regulatory changes
actions by governmental authorities the availability of capital
markets reliance on key personnel uninsured and underinsured losses
and other factors many of which are beyond the control of the
Company. Although any forward-looking statements contained in this
announcement are based upon what the Directors believe to be
reasonable assumptions. The Company cannot assure investors that
actual results will be consistent with such forward looking
statements.
Notes to Editors:
Premier African Minerals Limited (AIM: PREM) is a
multi-commodity mining and natural resource development company
focused on Southern Africa with its RHA Tungsten and Zulu Lithium
projects in Zimbabwe.
The Company has a diverse portfolio of projects, which include
tungsten, rare earth elements, lithium and tantalum in Zimbabwe and
lithium and gold in Mozambique, encompassing brownfield projects
with near-term production potential to grass-roots exploration. The
Company has accepted a share offer by Vortex Limited ("Vortex") for
the exchange of Premier's entire 4.8% interest in Circum Minerals
Limited ("Circum"), the owners of the Danakil Potash Project in
Ethiopia, for a 13.1% interest in the enlarged share capital of
Vortex. Vortex has an interest of 36.7% in Circum.
In addition, the Company holds a 19% interest in MN Holdings
Limited, the operator of the Otjozondu Manganese Mining Project in
Namibia .
Ends
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END
MSCFFFSLTLISFIV
(END) Dow Jones Newswires
August 25, 2023 02:00 ET (06:00 GMT)
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