Issue of Equity

RNS Number : 8220A

Eurasia Mining PLC

29 December 2014

 



Eurasia Mining plc ("Eurasia" or the "Company")

New Project Collaboration & Investment Agreement

Issue of Equity

Eurasia (LON:EUA) is pleased to announce today that it has entered into a New Project Collaboration & Investment Agreement (the "Agreement") with Metal Tiger Plc ("MTR") (LON:MTR), that includes a direct equity investment of £150,000 by Metal Tiger in the ordinary shares of Eurasia. Under the terms of the agreement, MTR has  the right of first refusal to participate and co-fund, on an equal basis with Eurasia, any new projects or investments undertaken by Eurasia for the period of 18 months from the date of the Agreement.

Under the Agreement, MTR will have ten business days in which to decide whether to participate or not from the date each opportunity is communicated in writing to them from the Company. This includes any existing projects under review by Eurasia but not yet formally announced to the market. For the avoidance of doubt, this does not include Eurasia's projects known as the Urals Alluvial Platinum project and the Kola PGM project.

Commenting on the transaction, Managing Director Christian Schaffalitzky said: "We are delighted to have the opportunity to work with MTR which allows us to expand our exploration efforts at a time when opportunities are increasing. We look forward to a fruitful relationship over the coming months".

As consideration of the Agreement, MTR will acquire 30,000,000 new ordinary shares in Eurasia (the "Subscription Shares") at a price per share of 0.5p per Subscription Share ("the Subscription") - a total of £150,000. Accordingly, Eurasia has today issued 30,000,000 new ordinary shares to MTR. The Subscription Shares will be admitted to trading on AIM  and it is anticipated that dealings will commence on 5 January 2015. Following admission MTR will become a shareholder in Eurasia with a legal and beneficial interest in 2.71% of Eurasia's issued share capital.

Also as part of the transaction, Eurasia has today issued MTR with warrants over 30,000,000 new ordinary shares in Eurasia, exercisable at any time over the next three years at an exercise price of 1p each. However, should Eurasia announce to market receipt of a licence to mine platinum in respect of the West Kytlim project, then the exercise price of any MTR warrants that have not been exercised by that date will be increased by 50% to 1.5p each.

Following the issue of the Subscription Shares, the total number of issued ordinary shares in the Company, including the Subscription Shares, will then be 1,108,219,874 Ordinary Shares and consequently the total number of voting rights in the Company is 1,108,219,874. This figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Disclosure and Transparency Rules.

For more information please contact:

Eurasia Mining:

Christian Schaffalitzky / Michael de Villiers

Tel: [phone]

Katy Mitchell, WH Ireland Limited

Tel: [phone]

 

END

 

 

IOEFEUFSUFLSEIE