Sign In
28 Aug 2012 07:40
Norseman Gold plc / Epic: NGL / Index: AIM / Sector: Mining & Exploration
28 August 2012
Norseman Gold plc
Placement to Zhaojin Mining Industry Co., Ltd
Norseman Gold plc ("Norseman" or "Company") is pleased to announce that Zhaojin Mining Industry Co., Ltd ("Zhaojin") has applied for relevant government approvals to use its wholly owned investment vehicle Gold Vein International Investment Co.("Gold Vein") to subscribe for 100,000,000 shares at the price of A$ 0.04 per share as part of the recently announced and approved by shareholders of Norseman 625 million share placement ("the transaction"). Following completion of the transaction Zhaojin will hold approximately 8.95% of Norseman's expanded issued capital.
The proposed investment cannot proceed until after receipt of approval from:
1. the Foreign Investment Review Board of Australia; and
2. the relevant Chinese authorities.
As announced on 23 August 2012, the placement to Zhaojin has been allocated from the underwriting commitment which otherwise would have been taken up by Tulla Resources Group Pty Ltd. This will have the effect of reducing Tulla's holding post settlement to 27.73%.
Zhaojin is one of the largest gold mining companies in China and is listed on the Hong Kong Stock Exchange. It has an equivalent market capitalisation of approximately AUS$2.33 billion (at 21 August 2012) and its majority interest is owned by Chinese capital. It specialises in high grade, narrow vein ore bodies and this experience will assist with improving Norseman's mining and milling operations.
The Board will be pleased to welcome Zhaojin to the share register and look forward to receiving the benefit of their expertise as the Company seeks to develop its extensive holdings in the Norseman Gold Field.
* * ENDS * *
For further information visit www.norsemangoldplc.com, email investors@ngold.com.au or contact:
David Steinepreis Norseman Gold Plc. Tel: +44 (0) 7913402727
William Vandyk Northland Capital Partners Ltd Tel: 020 7796 8800
Guy Wilkes Ocean Equities Ltd Tel: 020 7786 4370
Susie Geliher / Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7236 1177
Notes
Norseman Gold plc is an AIM and ASX listed Australian gold production company, which operates the 986 km2 Norseman Gold Project, Australia's longest continually running gold operation. Located in the Eastern Goldfields of Western Australia in the highly prospective Norseman-Wiluna greenstone belt, the project currently has a total resource inventory of 3.4 million ounces of gold at an average grade of 4.7 g/t.
Follow the stocks
