Placing of New Ordinary Shares

RNS Number : 0658O

Great Western Mining Corp. plc

27 May 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 £217,500 through the issue of 217,500,000 new Ordinary Shares (the "Placing") at a price of 0.10 pence each.

Formal approvals for works at the Mineral Jackpot ("MJ") and Rock House Group ("RH Group"), together with the signing of an option agreement announced last week to acquire 48 mineral claims in Nevada, the "Olympic Gold Project", represent good progress during the current emergency.   

The proceeds, together with the Company's existing funds, will facilitate the proposed 2020 work programme on its existing properties and allow it to commence work on the Olympic Gold Project.

In addition, the Company is issuing a further 15,000,000 new Ordinary Shares at the placing price in lieu of fees for services provided to the Company. 

DIRECTOR PARTICIPATION

Brian Hall and Max Williams, both directors of the Company, will participate in the above share issue as follows:

Director	Ordinary Shares to be issued	Resultant holding of Ordinary Shares	Resultant percentage holding (of enlarged issued share capital)
Brian Hall	20,000,000	71,000,200	4.28%
Max Williams	15,000,000	46,250,000	2.79%

The participation by Brian Hall and Max Williams constitute related party transactions for the purposes of AIM Rule 13 and Euronext Growth Rule 13. The Company, having consulted with the Company's nominated adviser and Euronext Growth Adviser, Davy, considers the terms of the related party transactions to be fair and reasonable in so far as the Company's shareholders are concerned.

SETTLEMENT AND DEALING

Application will be made to the AIM Market of the London Stock Exchange ("AIM") and Euronext Growth for a total of 232,500,000 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 3 June 2020 ("Admission").

Executive Chairman Brian Hall commented: 'This placing of new shares follows completion of our option to acquire the Olympic Gold Project in Nevada, announced last week, which is an exciting development for the Company, with strong prospectivity for the discovery of gold and complementary to our existing mineral properties in the area where sampling last year established strong indications of precious metals. The funds will be used to accelerate progress across our portfolio of gold and silver prospects including at Mineral Jackpot which has already yielded positive early stage results including an assay of 27.4 g/t Au, 151 g/t Ag and 0.14% Cu. W e will keep shareholders advised on progress.' 

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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