Corcel Regulatory News (CRCL)

Corcel PLC

("Corcel" or the "Company")

Fundraising, Debt Conversion and Nickel Project Acceleration

16 March 2022

Corcel, the natural resource exploration and development company with interests in battery metals and flexible energy generation and storage is pleased to announce that following recent positive developments in the Nickel market it has elected to accelerate the advancement of the Company's nickel-cobalt assets in PNG. In support of this effort, it has agreed a fundraising of £365,000 alongside the conversion of £170,000 of outstanding debt.

Highlights:

o Fundraising of £365,000 at a price of £0.015 supports an acceleration of the Wowo gap development program in light of recent all-time highs in nickel prices

o The Directors have advised the Company of their intention, additionally to the placing, to subscribe for £35,000 of stock at the market price once in an open period for trading

o Debt conversion of £170,000 into 11,333,333 new ordinary shares (an effective price of 1.5p) reduces the Company's near-term debt burden

Scott Kaintz, Chief Executive Officer, commented: "Nickel performance and interest exceeding all expectations has led to the opportunity to raise funding and reduce debt payments all designed to accelerate our nickel interests, focussing on Wowo Gap in particular. With nickel markets in turmoil and security of supply being demanded by nickel users, we are actively pursuing this very clear and material opportunity."

 Equity Funding

The equity fundraising (the "Placing") will raise gross proceeds of £365,000 from the issue of 24,333,332 new ordinary shares of £0.0001 at a £0.015 ("Placing Price") per share ("Placing Shares").

This placing has been agreed in lieu of the underwritten placing of £350,000 originally announced on 21 February 2022, replacing the underwritten portion in full and leaving 40,000,000 shares available for issue under the Equity Share Agreement ("ESA") at a price of £0.015 or higher and a 60/40 share in the Company's favour for any receipts in excess of £0.015. The Company retains the right to terminate the ESA at its election.

Three Directors have advised that they intend to subscribe for £35,000 of stock at the market price once in an open period for trading. Additionally, 1,460,000 shares are to be issued as placing fees ("Fee Shares") associated with the fundraising.

Debt Conversion

As previously announced on 12 May 2021 and updated on 21 February 2022, the Company has now agreed to bring forward the conversion of £170,000 of debt originally due on 30 April 2022 to lenders arranged by Align Research Limited, through the issuance of 11,333,333 new ordinary shares ("Debt Shares") to the underlying debtholders.

Nickel Project Acceleration

A portion of the proceeds of the Placing will be utilized to accelerate the Company's activities at the Wowo gap nickel project in Papua New Guinea, where the Company owns a 100% interest. With JORC upgrade work and a Gap Analysis ongoing, the Company intends now to also start parallel development of a Bankable Feasibility Study with a view to fast track the Mining Lease Application taking advantage of the strong market conditions.

Meanwhile, discussions on offtake continue with the Shandong New Powder COSMO AM&T ("NPC"), with NPC stakeholders expected to meet in China at the end of March to discuss the potential offtake agreement in more detail as well as to work through the nickel product specifications required by Chinese precursor plants, which would process the nickel for end use in the NPC cathode plant.

Admission to Trading on AIM and Total Voting Rights

Application is being made to AIM for 12,793,333 shares to be admitted to trading on AIM, the admission of which it is expected on or around 21 March 2022. A further application is being made to AIM for 24,333,332 shares to be admitted to trading on AIM, the admission of which it is expected on or around 29 March 2022

In accordance with the provision of the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority, the Company confirms that, following the issue of the Placing Shares, Debt Shares and Fee Shares, its issued ordinary share capital will comprise 437,686,666 ordinary shares.

All of the ordinary shares have equal voting rights and none of the ordinary shares are held in Treasury. The total number of voting rights in the Company will therefore be 437,686,666. The above figure may be used by shareholders as the denominator for the calculations to determine if they are required to notify their interests in, or change to their interest in, the Company

Scott Kaintz 020 7747 9960 Corcel Plc CEO 

James Joyce / Andrew de Andrade 0207 220 1666 WH Ireland Ltd NOMAD & Broker

Simon Woods 0207 3900 230 Vigo Consulting IR 

This announcement contains inside information for the purposes of Article 7 of Regulation 2014/596/EU, which is part of domestic UK law pursuant to the Market Abuse (Amendment) (EU Exit) regulations (SI 2019/310) and is disclosed in accordance with the Company's obligations under Article 17.