Business
Subscription to raise £2m
Subscription to raise £2m.
About this update from Shuka Minerals Plc
[{"type":"text","content":"\n \nRNS Number : 2468X Edenville Energy PLC 20 February 2017 \n\n20 February 2017\n \nEDENVILLE ENERGY PLC\n(\"Edenville\" or the \"Company\")\n \nSubscription to raise £2m at 0.8p per share\n \nEdenville Energy plc (AIM:EDL), the Company developing a coal-to-power project in south west Tanzania is pleased to announce a subscription, that was oversubscribed, to raise £2.0 million (before expenses) through the issue of 250,000,000 new ordinary shares of 0.02 pence each in the capital of the Company (\"New Ordinary Shares\") at 0.8 pence per New Ordinary Share to new and existing shareholders, together with 125,000,000 warrants issued to the subscribers on the basis of one warrant for every two New Ordinary Shares, exercisable at 1.08 pence per warrant at any time over the next 18 months (the \"Warrants\" and each a \"Warrant\"; and together with the New Ordinary Shares, the \"Subscription\").\n \nThe net proceeds from the Subscription will be used predominantly for the advancement of mining development and to facilitate the Company's progress into full coal mining operations as soon as possible. More specifically the proceeds of the Subscription will be used to facilitate the following:\n \n• Complete the purchase of a wash plant and crusher and facilitate the transportation and installation of these items on site in Tanzania;\n \n• Acquire mining equipment for an initial planned production of up to 10,000 tonnes of coal per month;\n \n• Complete land compensation requirements as required;\n \n• Build supporting infrastructure, including weighbridge facilities and implementing systems for coal delivery to customers; and\n \n• Provide working capital for the Company as it moves towards full production.\n \nThe above will allow the Company's coal mining operations at Rukwa to complete the transition from development into full production, thus generating cash flow from the sale of processed coal, which the Directors anticipate will be sufficient to cover the Company's day to d...