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Agreement to secure 100% of the Mina do Barroso
Agreement to secure 100% of the Mina do Barroso.
About this update from Savannah Resources Plc
[{"type":"text","content":"\n \nRNS Number : 1165W Savannah Resources PLC 15 April 2019 \n\n \n \n15 April 2019 \n \nSavannah Resources Plc\n(\"Savannah\" or the \"Company\")\n \nAgreement to secure 100% control of the Mina do Barroso Lithium Project in Portugal \n \nHIGHLIGHTS:\n· Savannah intends to secure 100% control of its flagship asset, the Mina do Barroso Lithium Project in Portugal (the 'Project'), Europe's most significant spodumene lithium deposit, via an all share offer (the 'Transaction')\n· The remaining 25% interest is to be acquired from minority shareholders (the 'Vendors') including Slipstream Resources Investments Pty Ltd ('Slipstream'), the largest of the Vendors and an existing shareholder in Savannah\n· 100% ownership by Savannah of Mina do Barroso will provide greater exposure for Savannah shareholders to this significant lithium project and valuable optionality as the Company progresses the development and commercialisation of the Project\n· Consideration is to be satisfied through the issue of 163 million new ordinary shares in Savannah (the 'Consideration Shares') at USD 0.073 (circa. 5.63p) per share valuing the Transaction at circa US$11.9m and equating to 15.6% of the enlarged issued share capital of the Company\n· The Transaction is subject to Savannah entering into a legally binding Share Purchase Agreement ('SPA') with the Vendors and will be subject to shareholders approving the requisite resolutions to issue new ordinary shares at the Company's 2019 AGM \n· Resource investment specialist, Slipstream, will become a 16.0% shareholder in Savannah following the proposed issue of new ordinary shares due to them, increasing from a 5.1% shareholding \n· The Vendors have agreed to a 12-month lock-in arrangement on the Consideration Shares and a further 9-month orderly market restriction following completion of the Transaction\n· The Transaction demonstrates Slipstream's confidence in the potential of the Project and Savannah's overall asset portfolio\n \nSavannah Resources plc (AIM: SAV, FWB: SAV and SWB: SAV), the resource development company with a portfolio of diversified assets, is pleased to announce that it has entered into a term she...