/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO
UNITED STATES SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
VANCOUVER, BC, 5 April 2022
/CNW/ - Macarthur Minerals Limited (ASX: MIO) (TSXV: MMS)
(OTCQB: MMSDF) (the "Company" or "Macarthur") has closed the
previously announced private placement (the "Offering" or
"Placement") of AUD 7.5 million with institutional and
sophisticated investors with subscriptions totalling 15,000,000
fully paid ordinary shares ("New Shares") at a price of AUD 0.50
per share. For each New Share issued under the Placement, one
attaching option will be issued ("Option") to acquire one
fully paid ordinary share in the Company at an exercise price of
AUD 0.65, with an expiry date 24 months from the date of
issuance.
Subject to exchanges final approval and acceptance, the
securities will be issued within the Company's existing ASX Listing
Rule 7.1 and the additional placement capacity under Listing Rule
7.1A.
The proceeds from the offering will be used for working capital
purposes and post feasibility study optimization work for the Lake
Giles Iron Project in the Yilgarn region of Western Australia ("Project"), and as it
advances discussions on its main round of project financing for the
Project.
Fees for Private
Placement
MST Financial Services Pty Limited and EAS Advisors, LLC, acting
through Odeon Capital Group LLC acted as Joint Lead Managers on the
Placement will receive a Management & Selling Fee equal to 6%
(six percent) of the gross proceeds raised under the Placement and
a total of ASX 2,000,000 unlisted options exercisable at
$0.65 expiring 2 years from the date
of issue.
On behalf of the Board of Directors, Mr Cameron McCall, Chairman
Company profile
Macarthur is an iron ore development, and lithium exploration
company that is focused on bringing to production its Western Australia iron ore projects. The Lake
Giles Iron Project mineral resources include the Ularring hematite
resource (approved for development) comprising Indicated resources
of 54.5 million tonnes at 47.2% Fe and Inferred resources of 26
million tonnes at 45.4% Fe; and the Lake Giles magnetite resource
of 53.9 million tonnes (Measured), 218.7 million tonnes (Indicated)
and 997 million tonnes (Inferred). The Lake Giles Iron Project also
contains Proven Ore Reserves of 51.9 Mt and Probable Ore Reserves
of 184.7Mt. Macarthur also holds 24 square kilometre tenement area
iron exploration interests in the Pilbara region of Western Australia. In addition, Macarthur has
lithium brine Claims in the emerging Railroad Valley region in
Nevada, USA
Competent / Qualified Person
Statement
Mineral
Resources:
The information in this report that relates to Mineral Resources
is based on, and fairly reflects, information compiled by Mr.
David Williams, a Competent Person,
who is an employee of CSA Global Pty Ltd, a member of the ERM group
of companies, and a Member of the Australian Institute of
Geoscientists (#4176). Mr Williams has sufficient experience
relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking to
qualify as a Competent Person as defined in the 2012 Edition of the
Australasian Code for the Reporting of Exploration Results, Mineral
Resources, and Ore Reserves (JORC Code). Mr Williams consents to
the disclosure of information in the form and context in which it
appears.
Ore
Reserves:
The information in this report relating to Ore Reserves is based
on information compiled by Stephen
Craig, a Fellow of the Australasian Institute of Mining and
Metallurgy. Mr Craig is a full-time employee of Orelogy Consulting
Pty Ltd. Mr. Craig has sufficient experience that is relevant to
the style of mineralisation and type of deposit under consideration
and to the activity being undertaken to qualify as a Competent
Person as defined in the 2012 Edition of the Australasian Code for
the Reporting of Exploration Results, Mineral Resources, and Ore
Reserves (JORC Code). Mr Craig consents to the disclosure of
information in the form and context in which it appears.
Caution Regarding Forward Looking
Statements
Certain of the statements made and information contained in this
press release may constitute forward-looking information and
forward-looking statements (collectively, "forward-looking
statements") within the meaning of applicable securities laws. All
statements herein, other than statements of historical fact, that
address activities, events or developments that the Company
believes, expects or anticipates will or may occur in the future,
including but not limited to statements regarding expected
completion of the Feasibility Study; conversion of Mineral
Resources to Mineral Reserves or the eventual mining of the
Project, are forward-looking statements. The forward-looking
statements in this press release reflect the current expectations,
assumptions or beliefs of the Company based upon information
currently available to the Company. Although the Company believes
the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees
of future performance and no assurance can be given that these
expectations will prove to be correct as actual results or
developments may differ materially from those projected in the
forward-looking statements. Factors that could cause actual results
to differ materially from those in forward-looking statements
include but are not limited to: unforeseen technology changes
that results in a reduction in iron or magnetite demand or
substitution by other metals or materials; the discovery of new
large low cost deposits of iron magnetite; the general level of
global economic activity; failure to complete the FS; inability to
demonstrate economic viability of Mineral Resources; and failure to
obtain mining approvals. Readers are cautioned not to place
undue reliance on forward-looking statements due to the inherent
uncertainty thereof. Such statements relate to future events and
expectations and, as such, involve known and unknown risks and
uncertainties. The forward-looking statements contained in this
press release are made as of the date of this press release and
except as may otherwise be required pursuant to applicable laws,
the Company does not assume any obligation to update or revise
these forward-looking statements, whether as a result of new
information, future events or otherwise.
SOURCE Macarthur Minerals Limited