Placing of New Ordinary Shares

RNS Number : 1459T

Great Western Mining Corp. plc

16 July 2020

 

GREAT WESTERN MINING CORPORATION PLC

("Great Western" or the "Company")

  PLACING OF NEW ORDINARY SHARES

Great Western Mining Corporation PLC (AIM - GWMO, Euronext Growth - 8GW), which is exploring and developing multiple early-stage gold, silver and copper targets in Nevada,  is pleased to announce the successful completion of a placing to raise gross proceeds of £450,000 through the issue of 450,000,000 new Ordinary Shares (the "Placing") at a price of 0.10 pence each.  In addition, the Company is granting 225,000,000 warrants based on a ratio of one warrant for every two Placing shares ("Placing Warrants") together with a further 27,000,000 warrants to be granted to Novum Securities Limited acting as broker ("Broker Warrants"). Each Placing Warrant carries the right to subscribe for one new share at a price of 0.20 pence per share for two years. Each Broker Warrant carries the right to subscribe for one new share at a price of 0.10 pence per share for two years.

Together with the Company's existing funds, the proceeds of the Placing will facilitate further work on the Olympic Gold Project, where a ground magnetic survey is planned to define an initial drilling target.   Work will be focused on the Olympic vein to the east and south of the OMCO fault, as well as assessment of the Cosmos vein potential.  Between 1917 and 1942 the shallow underground OMCO Mine on the property produced approximately 30,000 ounces of gold and 34,000 ounces of silver from only 35,000 tonnes of material, at grades of 25 grams/tonne gold and 30 grams/tonne silver.  Successfully identifying an extension to the mined vein on the other side of the fault, where the Company believes there is potential for precious metal mineralisation, will provide the Company with a significant development opportunity.  The funds will also be used to accelerate the proposed 2020 work programme on Great Western's existing mineral properties in Nevada, for seeking out new ventures for the Company and for general working capital purposes.

SETTLEMENT AND DEALING

Application will be made to the AIM Market of the London Stock Exchange ("AIM") and Euronext Growth for a total of 450,000,000 Ordinary Shares, which will rank pari passu with the Company's existing issued Ordinary Shares, to be admitted to trading. Dealings on AIM and Euronext Growth are expected to commence on or around 30 July 2020 ("Admission").

Executive Chairman Brian Hall commented: 'This placing of new shares will provide the means to do much more work on its gold and silver prospects, both on the recently acquired Olympic Gold Project and on its Mineral Jackpot and RH Group prospects. At the Olympic Gold Project, the focus will be on the OMCO Mine extension prospect, where the Company believes there is considerable exciting potential for precious metal mineralisation to the east of the OMCO fault from the possible continuation of a previously-produced vein.' 

MARS

This press release contains inside information as defined in Article 7(1) of the Market Abuse Regulations.

For further information:
Great Western Mining Corporation PLC Brian Hall, Chairman Max Williams, Finance Director	[phone] [phone]
Davy (Nomad, Euronext Growth Adviser & Joint Broker) John Frain	[phone]
Novum Securities (Joint Broker) Jon Belliss	[phone]
ETX Capital (Joint Broker) Thomas Smith	[phone]
Walbrook PR Nick Rome	[phone]

 

END

 

 

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