Anglesey Mining PLC LIMH Plan of Arrangement, Placing of New Anglesey Shares

 
TIDMAYM 
 
Anglesey Mining plc 
 
16th December 2016 
 
                                                                       LSE: AYM 
 
LIMH completes Plan of Arrangement 
 
Placing of New Anglesey Shares for GBP0.3 million completed 
 
Anglesey Mining plc ("Anglesey" or the "Company") is pleased to announce that 
Labrador Iron Mines Holdings Limited ("LIMH") has reported that its Plan of 
Compromise and Arrangement (the "Plan") under the Canadian Companies' Creditors 
Arrangement Act has been approved by creditors and sanctioned by the Ontario 
Superior Court of Justice in Toronto. 
 
The Sanction Order of the Court marks the final legal milestone in LIMH's 
financial restructuring process, with implementation of the Plan scheduled for 
Monday, December 19th, 2016. 
 
Upon implementation of the arrangement creditors of LIMH will be issued, as a 
group, approximately 22% of the shares of LIMH which means that Anglesey will 
then hold approximately 11.9% of LIMH and will be its second largest 
shareholder. Creditors will also be issued 49% of LIMH's operating subsidiary 
Labrador Iron Mines Limited. 
 
The Plan implements a restructuring of LIMH's business to preserve its mining 
assets, continue its mine site activities in a care and maintenance standby 
mode and position LIMH to refinance an orderly resumption of its iron ore 
mining activities when economic conditions warrant. 
 
Bill Hooley, Chief Executive, stated "We are very pleased to see LIMH passing 
this major milestone which will leave it debt free and with all its major 
assets intact.  As a significant shareholder in LIMH we look forward to the 
future development of its iron ore assets in Labrador when the economic climate 
is right, and to other opportunities that LIMH is now in a position to pursue." 
 
Placing of New Anglesey Shares completed 
 
Anglesey also reports that the previously announced issue 12,000,000 new 
ordinary shares in the Company has been completed raising a total of GBP310,200. 
The issued ordinary share capital of the company is now 172,608,051 ordinary 
shares of 1 pence each with voting rights; there are no shares held in 
treasury.  This figure may be used by shareholders as the denominator for the 
calculations which will determine whether they are required to notify their 
interest in the company, or any change to that interest, under the Financial 
Conduct Authority's Disclosure and Transparency Rules. 
 
The proceeds of the placement will be used for project development of 
Anglesey's 100% owned Parys Mountain zinc-copper-lead deposit and for general 
working capital.  An updated scoping study is currently being prepared by Micon 
International Limited and Fairport Engineering Limited, both of which are 
acknowledged experts and leaders in the resources sector. 
 
About Anglesey Mining plc 
 
Anglesey is carrying out development and exploration work at its 100% owned 
Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported 
resource of 2.1 million tonnes at 6.9% combined base metals in the indicated 
category and 4.1 million tonnes at 5.0% combined base metals in the inferred 
category 
 
Anglesey holds a 6% interest and management rights to the Grangesberg Iron 
project in Sweden, together with a right of first refusal to increase its 
interest by a further 51%. 
 
Anglesey also holds 11.9% of Labrador Iron Mines Holdings Limited which has 
direct shipping iron ore deposits in Labrador and Quebec, currently held in 
stand-by care and maintenance pending an improvement in the iron ore price. 
 
For further information, please contact: 
Bill Hooley, Chief Executive [phone]; 
Danesh Varma, Finance Director [phone]; 
Elliot Hance, Beaufort Securities+44 (0)207 382 8300 
 
 
 
 
END 
 

(END) Dow Jones Newswires

December 16, 2016 07:18 ET (12:18 GMT)