TIDMPXC
RNS Number : 2628E
Phoenix Copper Limited
27 February 2020
Phoenix Copper Limited / Ticker: PXC / Sector: Mining
27 February 2020
Phoenix Copper Limited (the "Company" or "Phoenix")
Equity subscription for GBP1.185 million at 15p per share
Loan note subscription for GBP354,000
Drilling programme to expand silver resources at Red Star
Phoenix Copper Limited (AIM: PXC; OTCQX: PXCLF), the AIM quoted
North American focused base and precious metals exploration and
development company, is pleased to announce that it has raised a
total of US$2,000,000 (GBP1,539,000) (before expenses) by way of a
subscription for new ordinary shares of no par value each
("Ordinary Shares") and the issue of unsecured loan notes (the
"Fundraising").
Of the US$2,000,000, US$1,540,500 (GBP1,185,000) has been raised
by way of a subscription for 7,900,000 Ordinary Shares at a price
of 15 pence per share (the "New Shares"), and US$459,500
(GBP354,000) by way of an issue of 12 per cent unsecured loan
notes, repayable on 30 September 2021. The Company will also grant
a total of 450,000 warrants to the loan note holders which will be
exercisable at 16 pence per share and valid until 31 July 2022 (the
"Warrants"). The Warrants will not be listed or quoted on AIM.
The net proceeds of the Fundraising will be used to fund a
drilling programme to expand the resources at the Company's Red
Star silver deposit, which is adjacent to the proposed open pit
copper mine at the Empire project in Idaho, USA. This programme
will commence immediately. The funds will also provide the Company
with additional working capital.
Ryan McDermott, Chief Executive Officer, commented:
"I am pleased to report on this Fundraising, particularly the
equity portion which has been placed at a 50 per cent premium to
our current market price. The New Shares have been placed with
existing shareholders demonstrating their ongoing support of the
Company and their belief in the underlying value of our assets.
Certain Directors have also participated at the premium price.
"These funds will enable us to systematically drill the known
vein system at Red Star and build onto the existing inferred silver
resource reported in 2018. The planned drilling programme will
target resource expansion, initial metallurgy and process
engineering and development engineering.
"The Company understands the importance of putting shareholder
money to work in the field and the Red Star work programme will be
no different. We appreciate the continued support of our
shareholders and look forward to announcing the next set of
drilling results in due course."
Director Subscriptions
Certain Directors of the Company participated in the
Fundraising, details of which are set out below:
Director No. of Ordinary No. of New No. of Ordinary % interest
Shares held Shares subscribed Shares held in Ordinary
as at date for in the immediately Shares immediately
of this announcement Fundraising following following
Admission Admission
Marcus Edwards-Jones 689,407 66,666 756,073 1.44%
---------------------- ------------------- ---------------- --------------------
Dennis Thomas 1,254,872 66,667 1,321,539 2.51%
---------------------- ------------------- ---------------- --------------------
Roger Turner 1,297,142 66,667 1,363,809 2.59%
---------------------- ------------------- ---------------- --------------------
Related Party Transaction
Marcus Edwards-Jones, Dennis Thomas and Roger Turner, as
directors of the Company, are "related parties" pursuant to the AIM
Rules for Companies. Accordingly, their participation in the
Fundraising constitutes a related party transaction for the
purposes of Rule 13 of the AIM Rules.
The directors independent of the transaction, being Ryan
McDermott, Richard Wilkins, Andre Cohen, and Jason Riley, consider,
having consulted with SP Angel Corporate Finance LLP ("SP Angel"),
the Company's nominated adviser, that the terms and conditions of
the above subscriptions are fair and reasonable insofar as the
shareholders of the Company are concerned.
Details of the Fundraising
Application has been made for 7,900,000 New Shares, which will
rank pari passu with the existing ordinary shares in the Company,
to be admitted to trading on AIM ("Admission"). It is expected that
Admission will become effective and dealings will commence on or
around 8:00a.m. on 3 March 2020.
Total Voting Rights
Following the issue of the New Shares, the issued share capital
of the Company will consist of 52,684,881 Ordinary Shares. No
shares will be held in treasury at the date of this announcement.
The total current voting rights in the Company following the issue
of the New Shares will therefore be 52,684,881.
The above total current voting rights number is the figure which
may be used by shareholders 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 Company.
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have
been deemed inside information for the purposes of Article 7 of
Regulation (EU) No 596/2014 until the release of this
announcement.
Contacts
For further information please visit
www.phoenixcopperlimited.com or contact:
Phoenix Copper Limited Ryan McDermott Tel: +1 208 954
Dennis Thomas 7039 Tel: +44
Richard Wilkins 7827 290 849
Tel: +44 7590
216 657
SP Angel David Hignell / Caroline Rowe Tel: +44 20 3470
(Nominated Adviser) 0470
----------------------------------- ---------------------
Brandon Hill Capital Jonathan Evans / Oliver Stansfield Tel: +44 20 3463
(Joint Broker) 5000
----------------------------------- ---------------------
WH Ireland (Joint Harry Ansell / Adam Pollock Tel: +44 207 2201666
Broker) / Katy Mitchell
----------------------------------- ---------------------
Blytheweigh Tim Blythe / Camilla Horsfall Tel: +44 20 7138
(Financial PR) / Megan Ray 3204
----------------------------------- ---------------------
Notes
Phoenix Copper Limited is a North American focused, base and
precious metal explorer and developer, which has carried out a
drilling programme and generated a copper, gold, silver and zinc
resource on which it is carrying out a feasibility study to bring
the historically producing Empire Mine in Idaho, USA, back into
production. It is also evaluating the silver and gold resources
around three other past producing mines within the 23 km(2) Empire
claims block as well as cobalt in two claims blocks north of Empire
in Idaho.
Phoenix's primary operations are focused near Mackay, Idaho in
the Alder Creek mining district. This district includes the
historical Empire, Horseshoe, White Knob and Blue Bird Mines, past
producers of copper, gold, silver, zinc, lead and tungsten from
underground mines in the first half of the twentieth century.
Additionally, the district includes Navarre Creek a Carlin-trend
gold discovery which hosts a 6.1 km gold strike length within a 9.8
km(2) area.
Phoenix acquired an 80% interest in the historical Empire Mine
property in 2017 and, based on a total of 320 drill holes, an oxide
resource was completed in late 2017. A NI 43-101 compliant PEA
(preliminary economic assessment) for an open pit heap leach
solvent extraction and electrowinning ("SX-EW") mine was completed
in April 2018. In 2018 a further 8,600 metres in 93 holes was
completed to upgrade the oxide resources, provide samples for
ongoing metallurgical test work, geotechnical and hydrological
studies and condemnation drilling for the heap leach pad site,
waste dump and plant site. An updated NI 43-101 compliant resource
was completed in early May 2019.
Since acquiring the Empire project, Phoenix has increased the
claim area from 818 acres to 5,717 acres, mainly to the northwest
and west, and in so doing has increased the potential for
additional oxide and sulphide copper resources, as well as the
potential for stand-alone gold and silver resources, along a strike
length of approximately 5.4 km towards the other brownfield mines
of the Horseshoe, White Knob and Blue Bird Mines now within the
property boundary. In particular, a new discovery at Red Star, 330
metres north west of the Empire Mine proposed open pit, has
revealed sulphide ore and from three shallow exploration drill
holes a NI 43-101 compliant maiden resource of 1.6 million silver
equivalent ounces was reported.
At Empire, it is estimated that less than 1% of the potential
ore system has been explored to date and, accordingly, there is
significant opportunity to increase the resource through phased
exploration.
More details on the Company, its assets and its objectives can
be found on PXC's website at www. phoenixcopperlimited.com .
NOTIFICATION AND PUBLIC DISCLOSURE OF TRANSACTIONS BY PERSONS
DISCHARGING MANAGERIAL RESPONSIBILITIES AND PERSONS CLOSELY
ASSOCIATED WITH THEM
. Details of the person discharging managerial responsibilities/person
closely associated
a) Name: Marcus Edwards-Jones
--------------------------------- -------------------------------------
2. Reason for the notification
------------------------------------------------------------------------
a) Position/status: Executive Chairman
--------------------------------- -------------------------------------
b) Initial notification/Amendment: Initial notification
--------------------------------- -------------------------------------
3. Details of the issuer, emission allowance market participant,
auction platform, auctioneer or auction monitor
------------------------------------------------------------------------
a) Name: Phoenix Copper Limited
--------------------------------- -------------------------------------
b) LEI: 2138006UWPZAB1A75680
--------------------------------- -------------------------------------
4. Details of the transaction(s): section to be repeated for
(i) each type of instrument; (ii) each type of transaction;
(iii) each date; and (iv) each place where transactions
have been conducted
------------------------------------------------------------------------
a) Description of the financial Shares of nil par value
instrument, type of instrument: each
Identification code: ISIN: VGG7060R1139
--------------------------------- -------------------------------------
b) Nature of the transaction: Participation in the
Fundraising
--------------------------------- -------------------------------------
c) Price(s) and volume(s): Price(s) Volume(s)
15 pence 66,666
----------
--------------------------------- -------------------------------------
d) Aggregated information: Single transaction as
Aggregated volume: in 4 c) above Price(s) Volume(s)
Price: 15 pence 66,666
--------------------------------- -------------------------------------
e) Date of the transaction: 26 February 2020
--------------------------------- -------------------------------------
f) Place of the transaction: Outside a trading venue
--------------------------------- -------------------------------------
. Details of the person discharging managerial responsibilities/person
closely associated
a) Name: Dennis Thomas
--------------------------------- -------------------------------------
2. Reason for the notification
------------------------------------------------------------------------
a) Position/status: VP of Investor Relations
and NED
--------------------------------- -------------------------------------
b) Initial notification/Amendment: Initial notification
--------------------------------- -------------------------------------
3. Details of the issuer, emission allowance market participant,
auction platform, auctioneer or auction monitor
------------------------------------------------------------------------
a) Name: Phoenix Copper Limited
--------------------------------- -------------------------------------
b) LEI: 2138006UWPZAB1A75680
--------------------------------- -------------------------------------
4. Details of the transaction(s): section to be repeated for
(i) each type of instrument; (ii) each type of transaction;
(iii) each date; and (iv) each place where transactions
have been conducted
------------------------------------------------------------------------
a) Description of the financial Shares of nil par value
instrument, type of instrument: each
Identification code: ISIN: VGG7060R1139
--------------------------------- -------------------------------------
b) Nature of the transaction: Participation in the
Fundraising
--------------------------------- -------------------------------------
c) Price(s) and volume(s): Price(s) Volume(s)
15 pence 66,667
----------
--------------------------------- -------------------------------------
d) Aggregated information: Single transaction as
Aggregated volume: in 4 c) above Price(s) Volume(s)
Price: 15 pence 66,667
--------------------------------- -------------------------------------
e) Date of the transaction: 26 February 2020
--------------------------------- -------------------------------------
f) Place of the transaction: Outside a trading venue
--------------------------------- -------------------------------------
. Details of the person discharging managerial responsibilities/person
closely associated
a) Name: Roger Turner
--------------------------------- -------------------------------------
2. Reason for the notification
------------------------------------------------------------------------
a) Position/status: Chief Technical Officer
and NED
--------------------------------- -------------------------------------
b) Initial notification/Amendment: Initial notification
--------------------------------- -------------------------------------
3. Details of the issuer, emission allowance market participant,
auction platform, auctioneer or auction monitor
------------------------------------------------------------------------
a) Name: Phoenix Copper Limited
--------------------------------- -------------------------------------
b) LEI: 2138006UWPZAB1A75680
--------------------------------- -------------------------------------
4. Details of the transaction(s): section to be repeated for
(i) each type of instrument; (ii) each type of transaction;
(iii) each date; and (iv) each place where transactions
have been conducted
------------------------------------------------------------------------
a) Description of the financial Shares of nil par value
instrument, type of instrument: each
Identification code: ISIN: VGG7060R1139
--------------------------------- -------------------------------------
b) Nature of the transaction: Participation in the
Fundraising
--------------------------------- -------------------------------------
c) Price(s) and volume(s): Price(s) Volume(s)
15 pence 66,667
----------
--------------------------------- -------------------------------------
d) Aggregated information: Single transaction as
Aggregated volume: in 4 c) above Price(s) Volume(s)
Price: 15 pence 66,667
--------------------------------- -------------------------------------
e) Date of the transaction: 26 February 2020
--------------------------------- -------------------------------------
f) Place of the transaction: Outside a trading venue
--------------------------------- -------------------------------------
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
IOEBRGDDSSDDGGL
(END) Dow Jones Newswires
February 27, 2020 02:00 ET (07:00 GMT)
Phoenix Global Mining (LSE:PGM)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024
Phoenix Global Mining (LSE:PGM)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024
