Business
Subscription to raise £1,250,000
Subscription to raise £1,250,000.
About this update from Beowulf Mining Plc
[{"type":"text","content":"\n \nRNS Number : 1148Q Beowulf Mining PLC 25 February 2016 \n\n \nNOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR PUBLICATION, RELEASE OR DISSEMINATION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN THE UNITED STATES, AUSTRALIA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH IT WOULD BE UNLAWFUL TO DO SO. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF THE SECURITIES LAWS OF SUCH JURISDICTIONS\n \n25 February 2016\nBeowulf Mining plc\n(\"Beowulf\" or the \"Company\")\nSubscription to raise £1,250,000\n \nBeowulf (AIM: BEM; Aktietorget: BEO), the mineral exploration and development company focused on the Kallak magnetite iron ore project in northern Sweden and its graphite portfolio in Finland, is pleased to announce a subscription for new ordinary shares to raise £1,250,000 before expenses. \n \nBackground to the Subscription and Use of Proceeds \n \nThe mining industry continues to face a range of challenging conditions. Low metal prices and a broad lack of confidence has led to an unfavourable environment for exploration and development companies to raise capital and advance with project development. \n \nDespite this, Beowulf's strategy to optimize and to develop a high-impact exploration and development portfolio while minimising its commitments and fixed costs has continued. \n \nThe Company has also sought to extend that strategy in response to market conditions by seeking to acquire lower risk and potentially high return mineral assets across the Nordic region. Whilst we expect market conditions to remain difficult for the mining sector, the Directors believe that the Subscription allows the Company to continue to progress and develop its mineral asset portfolio for approximately the next twelve months. The net proceeds of the Subscription are expected to be allocated as set out below.\n \n\n\n\n\n\n\n\n\n\n\n\n\n\nGBP(£)\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nCorporate\n\n\n\n\n\n\n\n\n415,000\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nSweden - Kallak\n\n\n\n\n\n\n\n\n564,000\n\n\n\n\n\n\n\nKallak - Drilling, assays\n \n\n\n\n\n\n\n\n\n\n\n\n\n\nKallak - Resource upgrade\n \n\n\n\n\n\n\n\n\n\n\nFinland - Graphite\n\n\n\n\n\n\n\n\n271,000\n\n\n\n\n\n\n\nViistola - Drilling, assays, resource statement \n \n\n\n\n...