8 Feb 2017 17:34
REGENCY MINES PLC
("Regency" or the "Company")
Issue of Equity
Total Voting Rights
8 February 2017
Regency Mines plc announces that it has raised £105,000 by way of a placing of 21,000,000 new ordinary shares of 0.01 pence each ("Shares") in the Company at a price of 0.5p per share with 1 for 1 warrants exercisable at a price of 1p for twenty-four months ("March 2019 Warrants" and "Placing").
The purpose of the Placing is to provide funding towards the investment in Vali Carbon Corporation, a Delaware company set up to pursue metallurgical coal investments in the Appalachians, announced on 6th February 2017.
Andrew Bell, Regency Chairman, states: "We have been able to fund this further investment in Appalachian coal by issuing shares at a price 25% above that at which we recently raised capital. Our intention then was, as far as possible, to fund development of our coal interests through disposals and through cash flow, and that intention remains; however this latest opportunity arose in a time frame which did not allow for that.
Progress continues on schedule in our coal activities in the U.S. and further announcements will be made."
Further Information and Additional Terms
The March 2019 Warrants are subject to call at seven days' notice should the closing price of the Shares exceed 2.5p for ten consecutive days.
The Placing is conditional on admission of the Shares to trading on AIM ("Admission").
Application has been made to the London Stock Exchange for Admission of the Shares, which will rank pari passu with the Company's existing issued Ordinary Shares. Dealings are expected to commence at 8.00 a.m. on or around 21st February 2017.
Total Voting Rights
Following the Placing, the Company's total issued ordinary share capital will consist of 428,384,571 Shares with voting rights. No Shares are held in treasury.
The above figure of 428,384,571 may be used by shareholders 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 Company under the FCA's Disclosure and Transparency Rules.
Background Information
Regency Mines is a natural resource development and investment company with interests in oil and mineral exploration, and in the production of metallurgical coal. Regency holds energy interests in Horse Hill Development Limited, that has discovered substantial oil deposits near Gatwick, Curzon Energy plc, with development interests in coal bed methane in Oregon, and Carbon Minerals Corporation, which is currently re-opening the Rosa metallurgical coal mine in Alabama. Regency also controls the Mambare project in Papua New Guinea, where it established through exploration a large nickel-cobalt Resource, and the Motzfeldt tantalum-niobium Resource in southern Greenland.
Note: The Market Abuse Regulation ("MAR") became effective from 3 July 2016. Market soundings, as defined in MAR, were taken in respect of the Placing with the result that certain persons became aware of inside information, as permitted by MAR. That inside information is set out in this announcement and has been disclosed as soon as possible in accordance with paragraph 7 of article 17 of MAR. Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities.
For further information, please contact:
Andrew Bell 0207 747 9960 Chairman Regency Mines Plc
Scott Kaintz 0207 747 9960 Executive Director Regency Mines Plc
Roland Cornish/Rosalind Hill Abrahams 0207 628 3396 NOMAD Beaumont Cornish Limited
Jason Robertson 0129 351 7744 Broker Dowgate Capital Stockbrokers Ltd.