Business
First Day of Dealings and £62
First Day of Dealings and £62.
About this update from Zanaga Iron Ore Co. Ltd.
[{"type":"text","content":"\n RNS Number : 4021W Zanaga Iron Ore Company Ltd 18 November 2010 \n \n\n \nNOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA OR JAPAN\n18 November 2010\n \nZanaga Iron Ore Company Limited \n \n(\"Zanaga\" or the \"Company\")\n \nFirst Day of Dealings and £62.1m (US$100m) Placing of New and Existing Shares\n \nZanaga Iron Ore Company Limited, the iron ore exploration and development company with operations in the Republic of Congo (Congo Brazzaville), is pleased to announce a placing of new and existing shares which has raised gross proceeds of £62.1m (US$100m) through the placing of 39,815,258 ordinary shares (the \"Placing\") at 156p each (the \"Placing Price\"). The Placing, which was conducted by Liberum Capital Limited, who acted as Nomad, Financial Adviser and Sole Broker to the Placing, comprised the issue by the Company of 19,907,629 new shares and the sale of 19,907,629 sale shares by certain existing shareholders. The placing of the 19,907,629 new shares by the Company will raise £31.06m ($50m), before expenses. Admission of the entire issued share capital of the Company to trading on AIM is expected to commence at 8.00am today.\n \nHighlights:\n \n· Admission to trading on AIM with a market capitalisation of £437m at the Placing Price\n \n· 3.34 billion tonne Mineral Resource (reported in compliance with the terms and definitions of the JORC Code 2004) at an average grade of 32.8% FeT which includes 843 million tonnes of haematitic itabirite at an average grade of 38.5% FeT, and significant resource upside potential \n \n· PFS funded by Xstrata option premium of up to US$106m\n \n· PFS expected to be finalised by the end of Q1 2011 to be followed by a Feasibility Study (\"FS\") to bankable standards\n \n· Xstrata have the option (Option 1) to purchase 50% plus 1 share in Jumelles Limited, an operating subsidiary of Zanaga. If Option 1 is exercised, Xstrata will fund the completion of a FS to bankable standards\n \n· Potential to produce a high quality 65% Fe sinter produ...