TIDMWRES

RNS Number : 3709M

W Resources PLC

16 September 2019

16 September 2019

W Resources Plc

("W" or the "Company")

EUR1m placement to Spanish Investors at 0.5p

W Resources Plc (AIM:WRES), the tungsten, copper and gold mining company with assets in Spain and Portugal, has completed a placement of 185,511,200 ordinary shares of 0.1p per share ("Ordinary Shares") at a price of 0.50p per Ordinary Share to raise GBP927,556 (approximately EUR1,000,000) (the "Placing") before expenses, to two Spanish Investors.

The Board believes that it is in the interest of the Company to broaden the Spanish investor base and deepen regional support. The investors are family offices of successful Spanish businesses in the Extremadura region, where the La Parrilla mine is located.

The funds raised from the subscription will be used to provide additional working capital for the Company during the remaining commissioning process which, despite the high quality build, has been delayed by over a quarter as a result of a failure by allmineral Aufbereitungstechnik GmbH & Co. KG of Germany to complete the La Parrilla Concentrator Plant according to the contracted schedule.

Michael Masterman, Chairman of W Resources, commented: "It is important to balance the final phase of funding on La Parrilla as we head into the most exciting stage of this project, with first ore to the new concentrator plant starting later this month. Ensuring that commissioning is completed to the highest standards has been the priority and we are pleased to receive support from the Spanish investment community, who invested at a premium to current share price, which takes the Company to this next important phase."

The Company will need to add additional funding over the next two months prior to the expected receipt of grant funding and start of commercial production in order to maintain the pace at which the La Parrilla mine is being developed and has received interest from potential debt and Spanish equity providers. A third Spanish investor has indicated interest to invest EUR2m on the same terms as this placement but the investment is subject to funds approval which they will target to achieve within the next month. W will keep the market informed in due course.

It is also the intention of the Chairman, Michael Masterman and possibly other Directors to subscribe for shares, on the same terms, following the issue of the Company's half year results as the Company is currently in a closed period.

Settlement and dealings

Application will be made for the new Ordinary Shares being issued in connection with the Placing to be admitted to trading on AIM with admission expected to occur on or around 20 September 2019.

Total Voting Rights

Following admission of the new Ordinary Shares, the Company's enlarged issued share capital will comprise 6,216,177,640 Ordinary Shares with voting rights. The Company has no shares held in Treasury. This figure of 6,216,177,640 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

Enquiries:

 
 W Resources Plc                      Grant Thornton UK LLP 
  Michael Masterman                    Colin Aaronson / Seamus Fricker 
  T: +44 (0) 20 7193 7463              T: +44 (0) 20 7383 5100 
  www.wresources.com 
 Joint Broker                         Joint Broker 
  Turner Pope Investments (TPI) Ltd    Alternative Resource Capital / 
  Andy Thacker                         Shard Capital 
  T: +44 (0) 203 657 0050              Alex Wood 
  www.turnerpope.com                   T:+44 (0) 207 186 9004 
                                       www.altrescap.com 
 
                                       Damon Heath 
                                       T:+44 (0) 207 186 9952 
                                       www.shardcapital.com 
 Gable Communications 
  Justine James 
  T: +44 (0) 20 7193 7463 
  M: +44 (0) 7525 324431

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

IOECKPDQBBKBKCD

(END) Dow Jones Newswires

September 16, 2019 02:01 ET (06:01 GMT)

W Resources (LSE:WRES)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024 Haga Click aquí para más Gráficas W Resources.
W Resources (LSE:WRES)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024 Haga Click aquí para más Gráficas W Resources.