PERE.L Regulatory News (PERE)

17 December 2021

Pembridge Raises £400,000 to advance evaluation of new projects

and

 Release of new corporate presentation

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 AS AMENDED BY REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310. UPON THE PUBLICATION OF THIS ANNOUNCEMENT VIA REGULATORY INFORMATION SERVICE, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

London, United Kingdom - Pembridge Resources plc (LSE: PERE) ("Pembridge" or the "Company") is pleased to announce that it has raised a total of £400,000 through a subscription of £320,000 ("Subscription") and issue of a convertible loan for £80,000 ("CL").

The Subscription

The Company has raised £320,000 at a subscription price of 5p through the issue of 6,400,000 new ordinary shares of 1p in the Company ("Subscription Shares"). The Company anticipates that admission of the New Ordinary Shares will occur in two separate tranches according to available headroom.

An application has been made for 3,200,000 New Ordinary Shares to be admitted to trading on the official list and the London Stock Exchange with effect from 8.00 a.m. on 23 December 2021 ("Admission").

The Company anticipates that the admission of the balance of the Subscription Shares will be at or around 14 January 2022. A further announcement will be made with regard to the admission of the balance of 3,200,000 Subscription Shares.

Convertible Loan

The Company has raised £80,000 through the issue of a CL to Gati Al-Jebouri, the Company's Chief Executive Officer and Chairman. This loan carries no interest and is to be converted to new ordinary shares of the Company at an exercise price of 5p on or shortly after 17 May 2022.

Use of Proceeds

The proceeds of the Subscription and the CL will be used to evaluate new projects and for general working capital. The Company set out its strategy in 2019 as follows:

1. Strengthen Pembridge so that it can meet its financial obligations until cash inflows commence from the Minto mine ("Minto");

2. Bring Minto into operation, establish its management team and confirm in a in a new 43-101 technical report that the life of the mine can be extended to 8 years;

3. Provide Minto with the capital needed to implement improvements, expand exploration and increase production; and

4. Identify new projects that the Company could invest in.

Following the recent Minto Metals Corp listing on the TSXV and capital raise for that transaction, the Company now believes that Minto is in a robust position and that the first three phases of the strategy outlined above have been fulfilled.

Accordingly, the Company has begun to identify new projects that can deliver further value to its shareholders. Also, the Company expects to receive C$4,000,000 from Minto during 2022, with first payment of C$1,000,000 at or around the end of Q1 2022, being the repayment of historic advances by Pembridge into the surety account.

Further cashflows are expected into the Company in due course as dividends based on its 11.2% economic interest in Minto. Pembridge's proportional share of the overall project cashflows from the current mine life at Minto, based on its shareholding, are expected to be US$18M to US$30.2M (assuming copper price range of US$3.10 to US$3.75 per tonne). Combined, these cashflows are expected to provide significant funding to advance any additional projects brought into the Pembridge portfolio.

The latest presentation is available on the Company's website at https://www.pembridgeresources.com/

Gati Al-Jebouri, Chief Executive Officer and Chairman of the Board of Pembridge said:

"This is an exciting time for Pembridge. Having achieved what we set out to do with our investment in Minto Metals Corp. we are now in a position to consider the future of Pembridge itself. Our single asset portfolio is a very strong basis for growing Pembridge and the time has come to identify and negotiate new investments.

In the Investor Presentation that we have released today, we clearly set out the potential that our investment in Minto Metals gives us and our intention to seek opportunities in the copper mining, gold mining, oil and gas and renewable energy sectors. I look forward to updating the market on progress of all our discussions and in particular as soon as we identify a project that meets our investment criteria."

Cautionary Statement

This News Release includes certain "forward-looking statements" which are not comprised of historical facts. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company, or management, expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management's expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, the Company's intentions regarding its objectives, goals or future plans and statements. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, the Company's ability to predict or counteract the potential impact of COVID-19 coronavirus on factors relevant to the Company's business, failure to identify additional mineral resources, failure to convert estimated mineral resources to reserves with more advanced studies, the inability to eventually complete a feasibility study which could support a production decision, the preliminary nature of metallurgical test results may not be representative of the deposit as a whole, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital, operating and reclamation costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in the Company's public documents. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

ENDS

NOTES TO EDITORS

Pembridge is a mining company that is listed on the standard segment of the Official List of the FCA and trading on the main market for listed securities of London Stock Exchange plc. Pembridge has an investment in Minto Metals Corp, a British Columbia incorporated business listed on the TSX Venture Exchange under the symbol "MNTO" that operates the Minto mine in Yukon, Canada.

About Minto Metals Corp

Minto Metals Corp operates the underground copper-gold-silver mine located in central Yukon, approximately 240 kilometres north of the capital Whitehorse along the Klondike Highway. In excess of US$350 million of capital expenditure has been invested into Minto operations since site construction began in 2006. The Minto mine was in continuous production between 2007 and 2018, when the mine was placed onto temporary care and maintenance. Pembridge acquired the Minto mine from Capstone Mining Corporation in June 2019 and restarted operations in October 2019.

Enquiries:

Pembridge Resources plc: +44 (0)7905 125740

Gati Al-Jebouri, Chief Executive Officer and Chairman of the Board

David James, Chief Financial Officer

Brandon Hill Capital - United Kingdom: +44 (0)20 3463 5016

Jonathan Evans