Last checked at 27 Mar 2018 16:15
Phoenix Global Mining Ltd / Ticker: AIM:PGM / Sector: Mining
27 March 2018
Phoenix Global Mining Ltd ('Phoenix' or the 'Company')
Gordon Lake Project - Issue of equity
Phoenix Global Mining Ltd (AIM:PGM.L), the AIM quoted, North American-focused base and precious metals exploration and development company, is pleased to announce that further to the announcement on 28 February 2018, it has now issued 2,000,000 shares of nil par value in the Company ("New Shares") to ExGen Resources Inc ("ExGen") (EXG: TSX-V).
The issue of the New Shares is pursuant to the Company's acquisition of the exclusive option to acquire 80% of the high grade Gordon Lake gold property in the Northwest Territories, Canada, from ExGen, as more fully described in the announcement on 28 February 2018.
Details of the issue of equity
Application will be made for the New Shares, which will rank pari passu with the existing Ordinary Shares in the Company, to be admitted to trading on AIM ("Admission"). It is expected that Admission will become effective and dealings will commence on or around 8.00a.m. on 4 April 2018.
Following the issue of New Shares, ExGen will own 13,300,000 Shares which will represent 5.73 per cent. of the issued share capital and total voting rights of the Company.
Total Voting Rights
Following the issue of the New Shares, the issued share capital of the Company will consist of 232,286,473 Ordinary Shares. No shares were held in treasury at the date of this announcement. The current total voting rights in the Company are therefore 232,286,473.
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.
**ENDS**
For further information please visit www.pgmining.com or contact:
Phoenix Global Mining Ltd | Dennis Thomas / Richard Wilkins | c/o St Brides Partners +44 20 7236 1177 |
SP Angel (Nominated Advisor) | Lindsay Mair / Caroline Rowe | Tel: +44 20 3470 0470 |
Brandon Hill Capital (Broker) | Jonathan Evans / Oliver Stansfield | Tel: +44 20 3463 5000 |
St Brides Partners (Financial PR) | Charlotte Page / Susie Geliher | Tel: +44 20 7236 1177 |
Notes
Phoenix Global Mining Ltd (AIM: PGM) is a North American-focused, base and precious metal explorer and developer, which is fast-tracking the historically-producing Empire Mine in Idaho, USA, back into production and exploring for cobalt in Idaho and gold in Canada.
Having established an initial copper oxide JORC and NI 43-101 resource of 19.4 mt grading 0.47% copper ('Cu') for 90,547 t contained Cu, plus zinc, gold and silver, Phoenix has defined a two-phase development strategy. Phase One is focused on commencing low cost, open pit production from the current oxide resource, targeting 7,000t copper cathode per annum. Stage Two will look to extend the life of mine by targeting the deeper (below c.120m), higher grade copper sulphides, where intercepts of up to 11.4% Cu have been recovered. Preliminary Economic Analysis work on the priority open pit oxide resource is already underway. It is estimated that only 5% of the potential ore system has been explored to date and accordingly there is significant opportunity to increase the resource through phased exploration; the current resource relates to the oxide resource only, which remains open along strike and does not include the deeper, higher grade sulphides.
The Company also holds two prospective cobalt properties in Idaho, US, which are located north of the Empire Mine. These are situated close to the town of Cobalt and are close to projects being advanced by Canadian junior miners, including eCobalt Solutions and US Cobalt. Exploration will continue during 2018 to identify drilling targets.
The Company has also acquired an exclusive option to explore and develop the Gordon Lake Project, in the Northwest Territories, Canada, a high grade shear hosted gold project comprising of 17 known mineralised zones of which only four have been tested with 59 diamond drill holes. The Company will proceed to examine the optimal way forward to develop the project as a low-cost underground gold producer.
With a management team that has successfully constructed, commissioned and operated mines and low risk, mining-friendly jurisdictions with excellent infrastructure, Phoenix is looking to fulfil its ambitions to become a mid-tier base and precious metal producing company, offering exposure to three high value and high demand metals with compelling demand/supply fundamentals.