Last checked at 27 May 2020 07:00
27 May 2020
Pathfinder Minerals Plc
("Pathfinder" or the "Company")
Update on Mozambique Court Proceedings
Application for Recognition of Substantive English Judgment
Pathfinder has been notified that the Mozambique Supreme Court has rejected the Company's application to recognise a judgment by the English High Court (the "English Judgment") which gave certain declarations to the effect that Pathfinder's subsidiary, IM Minerals Limited, validly acquired its shareholding in Companhia Mineira de Naburi S.A.R.L., which previously held Mining Concession 4623C. This outcome has no bearing on the English Judgment, which remains in force.
The Company is awaiting a full translation of the judgment but is advised by its Mozambique lawyers that the application was rejected on the same basis as the Company's first application for recognition as announced on 31 December 2014. Once the Company has been able to review a translated judgment, it will investigate the possibility of an appeal or other remedies against the Mozambique Supreme Court's decision. Further updates will be made if and when appropriate.
The Board remains of the view that a negotiated outcome in respect of Mining Concession 4623C in which all interested parties are involved is likely to lead to the optimum solution for shareholders. The Board has an open dialogue with the Veloso family, who appear committed to working towards a commercial resolution of the contested Licence.
Dennis Edmonds, Chief Executive Officer of Pathfinder, commented:
"While the Mozambique Supreme Court's decision is disappointing, it is consistent with its previous decision and has never been regarded by the new Board as pivotal to the strategy followed within the last twelve months to restore an interest in the disputed licence. We will investigate the possibility of an appeal as a matter of course but a negotiated outcome continues to be the focus of all parties, including the Veloso family who appear to remain committed to working towards a commercial resolution that avoids further protracted delays from legal proceedings."
Enquiries:
Pathfinder Minerals Plc
Dennis Edmonds, Chief Executive Officer
Tel. +44 (0)20 3440 7775
Strand Hanson Limited (Nominated & Financial Adviser)
James Spinney / Ritchie Balmer / Jack Botros
Tel. +44 (0)20 7409 3494
Vigo Communications (Public Relations)
Ben Simons / Simon Woods
Tel. +44 (0)20 7390 0234
Email. pathfinderminerals@vigocomms.com
Novum Securities Limited (Corporate Broker)
Colin Rowbury / Jon Belliss
Tel. +44 (0)20 7399 9400
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").