Mkango Resources Ltd. (AIM/TSX-V: MKA) (the "Company" or "Mkango")
announces that following the exercise of warrants over 504,545
common shares without par value in the share capital of the Company
("New Shares") at an exercise price of 6.6 pence each, it has
received an aggregate consideration of £ 33,300.00.
The New Shares will rank pari passu with the
existing shares and application has been made for the New Shares to
be admitted to trading on AIM ("Admission"). It is expected that
Admission will become effective and dealings in the New Shares will
commence at 8:00a.m. on or around 11 September 2018. The New Shares
will also trade on the Toronto Venture Exchange.
In accordance with the Disclosure Guidance and
Transparency Rules (DTR 5.6.1R) the Company hereby notifies the
market that immediately following Admission, its issued share
capital will consist of 109,154,600 shares. The Company does not
hold any shares in treasury. Shareholders may use this figure as
the denominator for the calculations by which they will determine
if they are required to notify their interest in, or a change to
their interest in, the Company under the FCA's Disclosure and
Transparency Rules.
Market Abuse Regulation (MAR)
Disclosure
Certain information contained in this
announcement may have been deemed inside information for the
purposes of Article 7 of Regulation (EU) No 596/2014 until the
release of this announcement.
About Mkango Resources
Limited
Mkango's primary business is exploration for
rare earth elements and associated minerals in the Republic of
Malawi, a country whose hospitable people have earned it a
reputation as "the warm heart of Africa". The Company holds
interests in three exclusive prospecting licenses in Malawi, the
Phalombe licence, the Thambani licence and the Chimimbe Hill
licence.
The main exploration target in the Company's
80%-held Phalombe licence is the Songwe, which features
carbonatite-hosted rare earth mineralisation and was subject to
previous exploration in the late 1980s. Mkango completed an updated
Pre-Feasibility Study for the project in November 2015 and a
feasibility study (the "Feasibility Study") is currently underway,
the initial phases of which include a major drilling programme.
Under the terms of an agreement with Talaxis
(the "Talaxis Agreement"), Talaxis agreed to fully fund the
Feasibility Study by investing £12 million for a 49% interest in
the Songwe Project (via Mkango subsidiary Lancaster Exploration
Ltd). Talaxis will also have the option to acquire a further 26%
interest by arranging funding for project development including
funding the equity component thereof. If Talaxis exercises its
option, Mkango will retain a 25% interest in Songwe, free carried
to production. To-date, Talaxis has invested £5 million, which is
funding the initial phase of the Feasibility Study, for a 20%
interest in the project with Mkango holding 80%.
Talaxis also agreed to invest a further £2
million to acquire a 49% interest in Maginito Ltd ("Maginito"), a
new subsidiary of Mkango focused on neodymium alloy powders,
magnets and other technologies. This includes the collaboration
with Metalysis Ltd announced in September 2017, which is focused on
advanced alloys using neodymium or praseodymium with other elements
for permanent magnet manufacturing. Permanent magnets are critical
materials for most electric vehicles, direct drive wind turbines
and many other high growth applications. Neodymium is a key rare
earth component at Songwe. To date, Talaxis has invested £1 million
for a 24.5% interest in Maginito with Mkango holding 75.5%.
The main exploration targets in Mkango's
remaining two 100% held licences are, in the Thambani licence,
uranium, niobium, tantalum and zircon and, in the Chimimbe Hill
licence, nickel and cobalt.
For more information, please visit
www.mkango.ca.
Cautionary Note Regarding Forward-Looking
Statements
This news release contains forward-looking
statements (within the meaning of that term under applicable
securities laws) with respect to Mkango, its business and the
Project. Generally, forward looking statements can be identified by
the use of words such as "plans", "expects" or "is expected",
"scheduled", "estimates" "intends", "anticipates", "believes", or
variations of such words and phrases, or statements that certain
actions, events or results "can", "may", "could", "would",
"should", "might" or "will", occur or be achieved, or the negative
connotations thereof. Forward looking statements in this news
release include statements with respect to: Songwe; the Feasibility
Study; and the Talaxis Agreement.. Readers are cautioned not to
place undue reliance on forward-looking statements, as there can be
no assurance that the plans, intentions or expectations upon which
they are based will occur. By their nature, forward-looking
statements involve numerous assumptions, known and unknown risks
and uncertainties, both general and specific, that contribute to
the possibility that the predictions, forecasts, projections and
other forward-looking statements will not occur, which may cause
actual performance and results in future periods to differ
materially from any estimates or projections of future performance
or results expressed or implied by such forward-looking statements.
Such factors and risks include, without limiting the foregoing,
market demand for the metals and associated downstream products for
which Mkango is exploring, researching and developing, the positive
results of a feasibility study on the Project, delays in obtaining
financing or governmental or stock exchange approvals. The
forward-looking statements contained in this news release are made
as of the date of this news release. Except as required by law, the
Company disclaims any intention and assumes no obligation to update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except as required by
applicable law. Additionally, the Company undertakes no obligation
to comment on the expectations of, or statements made by, third
parties in respect of the matters discussed above.
For further information on Mkango, please
contact:
Mkango Resources LimitedWilliam DawesChief
Executive Officerwill@mkango.caUK: +44 207 3722 744Canada: +1 403
444 5979www.mkango.ca@MkangoResources
Alexander LemonPresidentalex@mkango.ca
BlytheweighFinancial Public RelationsTim Blythe,
Camilla Horsfall, Julia TilleyUK: +44 207 138 3204
SP Angel Corporate Finance LLPNominated Adviser
and Joint BrokerJeff Keating, Caroline RoweUK: +44 20 3470 0470
Alternative Resource CapitalJoint BrokerAlex
Wood, Rob CollinsUK: +44 20 7186 9004; +44 20 7186 9001
The TSX Venture Exchange has neither approved
nor disapproved the contents of this press release. Neither the TSX
Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.This
press release does not constitute an offer to sell or a
solicitation of an offer to buy any equity or other securities of
the Company in the United States. The securities of the Company
will not be registered under the United States Securities Act of
1933, as amended (the "U.S. Securities Act") and may not be offered
or sold within the United States to, or for the account or benefit
of, U.S. persons except in certain transactions exempt from the
registration requirements of the U.S. Securities Act.
Mkango Resources (TSXV:MKA)
Historical Stock Chart
From Aug 2024 to Sep 2024
Mkango Resources (TSXV:MKA)
Historical Stock Chart
From Sep 2023 to Sep 2024