Temporary Suspension

RNS Number : 9777P

Equatorial Mining & Exploration PLC

01 June 2018

 

1^st June 2018

Equatorial Mining & Exploration Plc ("EME" or the "Company")

Commencement of Negotiations with Significant Investor

and Suspension of Trading

The Company is delighted to announce that it has signed a heads of terms agreement with a South African mining company, ARQ Minerals (Pty) Limited ("ARQ") which has substantial mining interests.  Having identified Nigeria as an area of great coal mining potential, ARQ approached EME with a view to building on the excellent progress made by the Company in Nigeria over past years.

ARQ has executed a placing letter committing to an investment £50,000 in return for 500,000,000 ordinary shares before 15^th June 2018.  This initial investment is being made to coincide with the heads of terms which will develop into an investment agreement during the course of the next 30 days.

About ARQ

ARQ has a history of some twenty years in mining.  It manages over 100 million tonnes of steam coal and anthracite assets across South Africa.  Its diverse supply base allows ARQ to trade and distribute to its global client base.

Planned further Share Issues

In preparation for the planned investment agreement with ARQ, the Company has advanced discussions with the holders of loans and long term debt with a view to an exchange into ordinary shares.  This is designed to leave the company entirely debt free.

Suspension of Trading

It is expected that the discussions with ARQ will result in a significant transaction and a delay to the publication of annual accounts.  The publication of accounts will be timed to coincide with the planned investment agreement and the subsequent lifting of today's suspension.

Enquiries:

Equatorial Mining & Exploration Plc: Nicholas Nelson, Executive Chairman	[e-mail]
NEX Exchange Adviser and Broker Alexander David Securities James Dewhurst	[phone]

The Directors take responsibility for this announcement.

 

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