Premier African Minerals Limited Mining Contractor Secured for RHA Tungsten Mine (2454X)
February 20 2017 - 1:00AM
UK Regulatory
TIDMPREM
RNS Number : 2454X
Premier African Minerals Limited
20 February 2017
Premier African Minerals Limited / Ticker: PREM / Index: AIM /
Sector: Mining
For immediate release
20 February 2017
Premier African Minerals Limited
("Premier" or the "Company")
Mining Contractor Secured for RHA Tungsten Mine
Ore deliveries to RHA Plant Commencing in March 2017
Premier African Minerals Limited, the AIM-traded,
multi-commodity resource and development Company focused on
Southern and Western Africa, announces that the shaft upgrades at
the Company's RHA Tungsten Mine have now been completed and that
the terms for the underground mining contract have now been
finalised with mining contractor African Mining and Exploration
("Afmine" or "Contractor") to deliver up to 16,000 tons of Tungsten
ore per month to the plant. At the same time, final terms have been
agreed to deliver up to 24,000 tons of tungsten ore from open pit
operations per month, all commencing in March 2017.
Afmine has elected to take their second milestone payment of
GBP100,000 in equity (as announced on 23 November 2016).
George Roach, Chairman and CEO commented, "The conclusion of the
final contractual mining terms is another important step on the
path to commencement of plant operations at RHA where
implementation of the XRT sorter and allied plant improvements
continue on schedule with planned commissioning this quarter.
Re-optimisation of the open pit by Datamine presents an extended
open pit life of up to 12 years and the simultaneous underground
mining provides encouraging options for future developments. Shaft
upgrades are now paid for, as is the case with the XRT sorter that
has been upgraded to latest specifications by the manufacturer and
is expected to leave South Africa for delivery to site this
week."
The notice of exercise by Afmine was received for GBP100,000 and
the Company has therefore issued today 14,098,407 ordinary shares
to Afmine ("New Shares") at an issue price of 0.7093p per Premier
Share. These New Shares will rank pari passu in all respects with
the existing ordinary shares. Application will be made for the New
Shares to be admitted to trading on AIM and admission is expected
to take place on or around 24 February 2017.
Following the issue of the New Shares, the Company's issued
share capital consists of 3,982,742,765 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.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
Enquiries
Premier African Minerals Tel: +44 (0)7734
Fuad Sillem Limited 922074
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Michael Cornish Beaumont Cornish Tel: +44 (0) 207
/ Roland Cornish Limited 628 3396
(Nominated Adviser)
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Jerry Keen/Edward Shore Capital Stockbrokers Tel: +44 (0) 207
Mansfield Limited 408 4090
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Beaufort Securities Tel: +44 (0) 20
Jon Belliss Limited 7382 8300
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Charles Goodwin/ Yellow Jersey PR Tel: +44 (0) 7747
Harriet Jackson Limited 788221
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Notes to Editor:
Premier African Minerals Limited (AIM: PREM) is a
multi-commodity mining and natural resource development company
focused in Southern and Western Africa with production started at
its flagship RHA project in Zimbabwe.
The Company has a diverse portfolio of projects, which include
tungsten, rare earth elements, gold, lithium and tantalum in
Zimbabwe and Benin, encompassing brownfield projects with near-term
production potential to grass-roots exploration. The Company
recently acquired a 52% controlling stake in Mozambique-based TCT
Industrias Florestais Limitada, which owns a substantial limestone
deposit and forestry business located on rail in the Sofala
Province of Mozambique. In addition, The Company holds 2 million
shares in Circum Minerals Limited ("Circum"), the owners of the
Danakil Potash Project in Ethiopia, which has the potential to be a
world class asset. At present those shares are valued at US$4
million based on the latest price at which Circum has accepted
subscriptions. Premier also has a 4.5% interest in Casa Mining
Limited, a privately-owned exploration company that has a 71.25%
interest in the 1.2 million ounce inferred resource Akyanga gold
deposit in the DRC.
ENDS
This information is provided by RNS
The company news service from the London Stock Exchange
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February 20, 2017 02:00 ET (07:00 GMT)