TIDMPXC
RNS Number : 9958N
Phoenix Copper Limited
27 May 2020
Phoenix Copper Limited / Ticker: PXC / Sector: Mining
27 May 2020
Phoenix Copper Limited (the "Company" or "Phoenix")
Oversubscribed Placing & Subscription to raise
GBP1,760,000
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 GBP1,760,000 (before expenses) by way of a placing and
subscription for ordinary shares of no par value each ("Ordinary
Shares"). The funds will be used to accelerate the gold and silver
work programmes at the Company's Red Star, Empire open pit and
Navarre Creek mineral properties in Idaho, USA.
Highlights:
- GBP1,760,000 raised at 18 pence per share
- Placing & subscription oversubscribed
- Use of proceeds:
o Diamond drilling at the high-grade Red Star silver / lead
deposit
o Additional drilling and metallurgical engineering on the
precious metals extensions at the Empire open-pit
o Gold exploration at Navarre Creek
GBP1,760,000 has been raised by way of a placing and
subscription for 9,777,641 new Ordinary Shares at a price of 18
pence per share (the "Fundraise Shares") (the "Fundraising"). The
Company will also grant a total of 453,467 broker warrants
exercisable at 18 pence per Ordinary Share and valid until 30 June
2023 (the "Warrants"). The Warrants will not be listed or quoted on
AIM.
The net proceeds of the Fundraising will be used to accelerate
the gold and silver work programmes at the Company's Red Star
silver / lead deposit, continued precious metals work at the Empire
open pit, and the Navarre Creek gold exploration project. These
work programmes will commence immediately and the funds will also
provide the Company with additional working capital.
Ryan McDermott, Chief Executive Officer, commented:
"This Fundraising marks another significant moment in the
Company's development. Early in the second quarter this year, we
reported the addition of significant precious metal value to the
Empire open-pit resource, and we commenced the 2020 Red Star
drilling programme on 27 April 2020.
"This GBP1.76 million Fundraising will allow the Phoenix team to
continue its work on a precious metals expansion programme at the
Empire open-pit through a combination of drilling and metallurgical
testing focused on the gold and silver trends recognised in and
around the oxide-copper resource area. Additionally, it will enable
the expansion of the Red Star drilling programme throughout the Red
Star shear zone, and allow the team to conduct a focused,
geophysical and geochemical programme at the Navarre Creek claim
block.
"The drilling programme at Red Star is progressing well,
especially as the wet spring time weather is now turning toward
drier, summer conditions. As we have recently expanded the network
of roads and drill pads in the shear zone, several additional
mineralised structures have been exposed in the dozer cuts below
the alluvium. These structures have been added to the list of drill
targets in the Red Star zone.
"Metallurgical testing on samples from the precious metals
trends in the Empire open-pit is currently underway. The results of
the test work should be completed later this summer and, when they
are available, will be incorporated into an updated PEA.
"We look forward to sharing additional news from our ongoing
programmes as it becomes available and, as always, we appreciate
the support of our shareholders as we continue the successful
development of our projects."
Director Subscriptions
Each of the directors of the Company (the "Directors")
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 Admission following Admission
Marcus Edwards-Jones 925,000 75,000 1,000,000 1.60%
---------------------- ------------------- --------------------- ---------------------
Ryan McDermott 343,747 55,556 399,303 0.64%
---------------------- ------------------- --------------------- ---------------------
Richard Wilkins 725,243 55,556 780,799 1.25%
---------------------- ------------------- --------------------- ---------------------
Roger Turner 1,363,809 55,556 1,419,365 2.27%
---------------------- ------------------- --------------------- ---------------------
Dennis Thomas 1,321,539 55,556 1,377,095 2.20%
---------------------- ------------------- --------------------- ---------------------
Andre Cohen 382,809 50,000 432,809 0.69%
---------------------- ------------------- --------------------- ---------------------
Jason Riley 15,000 8,333 23,333 0.04%
---------------------- ------------------- --------------------- ---------------------
Substantial Shareholder Subscription
Martin Hughes, a substantial shareholder of the Company, has
subscribed for a total of 1,666,650 Fundraise Shares in the
Fundraising. Mr. Hughes will hold 13,484,356 Ordinary Shares in the
Company immediately following admission of the Fundraise Shares,
representing approximately 21.59% of the Company.
Related Party Transaction
The Directors are "related parties" pursuant to the AIM Rules
for Companies.
In addition, Martin Hughes is a substantial shareholder in the
Company and is therefore also a "related party" pursuant to the AIM
Rules for Companies.
The participation of the Directors and Martin Hughes (the
"Related Parties") in the Fundraise constitutes a related party
transaction in accordance with AIM Rule 13. There being no
independent directors of the Placing, the Company's Nominated
Adviser, SP Angel Corporate Finance LLP, considers that the terms
of the Related Parties participation in the Placing are fair and
reasonable insofar as the Company's shareholders are concerned.
Details of the Fundraising
Application has been made for 9,777,641 Fundraise Shares to be
admitted to trading on AIM ("Admission"). It is expected that
Admission will become effective and dealings will commence on or
around 8.00 a.m. on 1 June 2020. The Fundraise Shares will rank
pari passu with the existing Ordinary Shares in the Company.
Total Voting Rights
Following the issue of the Fundraise Shares the issued share
capital of the Company will consist of 62,462,522 Ordinary Shares.
No shares will be held in treasury at the date of this
announcement. The total voting rights in the Company following the
issue of the Fundraise Shares will therefore be 62,462,522.
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 determine if they are required to notify their
interest in, or a change to, their interest in the Company.
Market Abuse Regulation (MAR) Disclosure
This announcement contains inside information for the purposes
of Article 7 of Regulation (EU) 596/2014 ("MAR"). In addition,
market soundings (as defined in MAR) were taken in respect of the
Placing with the result that certain persons became aware of inside
information (as defined in MAR), as permitted by MAR. This inside
information is set out in this announcement. Therefore, those
persons that received inside information in a market sounding are
no longer in possession of such inside information relating to the
Company and its securities.
For further information please visit
www.phoenixcopperlimited.com or contact:
Phoenix Copper Ryan McDermott Tel: +1 208 954
Limited Dennis Thomas 7039
Richard Wilkins Tel: +44 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
Broker) / Katy Mitchell 2201666
----------------------------------- -----------------
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: i) Marcus Edwards-Jones
ii) Ryan McDermott
iii) Richard Wilkins
iv) Roger Turner
v) Dennis Thomas
vi) Andre Cohen
vii) Jason Riley
----------------------------------------- -------------------------------------------------------
2. Reason for the notification
--------------------------------------------------------------------------------------------------
a) Position/status: i) Executive Chairman
ii) Chief Executive Officer
iii) Chief Financial Officer
iv) Chief Technical Officer, Non-Executive
Director
v) VP Investor Relations, Non-Executive
Director
vi) Non-Executive Director
vii) Non-Executive Director
----------------------------------------- -------------------------------------------------------
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 instrument, Shares of nil par value each
type of instrument: ISIN: VGG7060R1139
Identification code:
----------------------------------------- -------------------------------------------------------
b) Nature of the transaction: Subscription in Fundraising
----------------------------------------- -------------------------------------------------------
c) Price(s) and volume(s): Price(s) Volume(s)
i) 18 pence i) 75,000
ii) 18 pence ii) 55,556
iii) 18 pence iii) 55,556
iv) 18 pence iv) 55,556
v) 18 pence v) 55,556
vi) 18 pence vi) 50,000
vii) 18 pence vii) 8,333
------------------
----------------------------------------- -------------------------------------------------------
d) Aggregated information: Aggregate transaction: Price(s) Volume(s)
Aggregated volume: 18 pence 355,557
Price:
----------------------------------------- -------------------------------------------------------
e) Date of the transaction: 27 May 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
MSCDQLFLBELEBBZ
(END) Dow Jones Newswires
May 27, 2020 02:00 ET (06:00 GMT)
Grafico Azioni Phoenix Global Mining (LSE:PGM)
Storico
Da Mar 2024 a Apr 2024
Grafico Azioni Phoenix Global Mining (LSE:PGM)
Storico
Da Apr 2023 a Apr 2024
