Aureus Mining Inc. FINAL TRANCHE OF US$30M EQUITY FINANCING (3787E)

TIDMAUE

RNS Number : 3787E

Aureus Mining Inc.

15 July 2016

NOT 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.

15 July 2016

Aureus Mining Inc.

TSX : AUE

AIM : AUE

CLOSING OF FINAL TRANCHE OF US$30 MILLION EQUITY FINANCING AND BOARD CHANGES

Aureus Mining Inc. (TSX: AUE / AIM: AUE) ("Aureus" or the "Company") is pleased to announce that it has closed Tranche 2 of the equity financing (the "Offering") with MNG Gold Jersey Limited ("MNG Gold"), as previously announced in the Company's news release dated 15 June 2016, pursuant to which the Company has issued 331,111,209 new common shares in the Company ("Shares") at a price of 3.21p per Share (US$0.045302) to MNG Gold, raising gross proceeds of US$15.0 million.

This follows the clearance by the Toronto Stock Exchange ("TSX") of the required personal information forms and receipt of the required AIM approvals as detailed in the Company's news release dated 21 June 2016. Further, the promissory note in the aggregate principal amount of US$12,303,006 ("the Promissory Note") issued by the Company to MNG Gold pursuant to Tranche 1 of the Offering automatically converted into 271,577,546 Shares (also at a price of 3.21p per Share) concurrently with the closing of Tranche 2 of the Offering. An aggregate of 662,222,429 Shares have been issued pursuant to the two tranches of the Offering and the automatic conversion of the Promissory Note.

Application has been made for the 602,688,755 new Shares to be admitted to trading on AIM with admission to take place on or around 19 July at 8.00am (London time). The new Shares will rank pari passu with the Company's existing Shares. Following the issue of the new Shares the Company's issued share capital will comprise 1,024,039,001 Shares. Accordingly, the figure of 1,024,039,001 may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the FCA's Disclosure and Transparency Rules.

Board changes

As previously announced, following the completion of the transaction, the following changes to the Board and management of the Company have become effective:

-- CEO - David Reading has resigned his position of Chief Executive Officer and is replaced by Serhan Umurhan, General Manager of MNG Gold;

-- CFO - Paul Thomson has resigned his position as Chief Financial Officer. He is replaced by Geoff Eyre, CFO of MNG Gold; and

-- Board of Directors - Mehmet Nazif Gűnal has joined the Board as Non-Executive Chairman. Serhan Umurhan and Geoff Eyre have also joined the board as Directors. David Reading, Karin Ireton and Adrian Reynolds have resigned as Directors of the Company, whilst David Netherway, Loudon Owen and Jean-Guy Martin will continue as Non-Executive Directors of the Company.

In relation to the appointment of Mehmet Nazif Gűnal, Serhan Umurhan and Geoff Eyre to the Board of Directors, Aureus confirms that there is nothing further to disclose in relation to their appointment under AIM Rule 17 or Schedule Two, paragraph (g) of the AIM Rules for Companies, save as disclosed in this announcement:

 
 Full name:        Mehmet Nazif Gűnal 
 Age:              68 years old 
 Current           Animar Eglence ve Spor Tesisleri i--letme 
  directorships:    Turizm Ticaret A.$., Antma in--aat, 
                    Sanayi ve Ticaret A.$., Arhavi Elektrik 
                    Oretimi ve Tic. A.$, Atmaca Mining Services 
                    Limited, Aziz - Mapa Corporation, Balsu 
                    Elektrik Oretimi ve Ticaret A.$., Berkmen 
                    Gaynmenkul Tic. A.$., Berkmen Limited, 
                    Bgt Elektrik Oretimi ve Ticaret A.$., 
                    Burkina Mining Company SA, Company Burkina 
                    Faso, camyurt Otelcilik ve Turizm A.$., 
                    Can Investments Limited Dubai, Cayman 
                    Burkina Mine Limited, Cengiz Mapa zaltm 
                    Adi Ortakhg, Cmbe - Cengiz - Limak - 
                    Mapa - Kolin i-- Ortakhg, CSR - MNG 
                    Rayl Sistem Aralan Sanayi ve Ticaret, 
                    Doruk Limited, Company United Arab Emirates, 
                    Elazg Baskil Madencilik A.$., Company 
                    Turkey, Epidote Fze Limited, ER Burkina 
                    Exploration Sari, Esma-- Arabistan, 
                    Esmas Abu Dhabi, Etruscan Resources 
                    Burkina Faso SA, FC Wil 1900 AG, Gi.inal 
                    Dubai Jumeirah Santiyesi, Gi.inal Elektrik 
                    Oretimi ve Ticaret A.$., Gi.inal in--aat 
                    Ticaret ve Sanayi A.$., Gi.inal in--aat 
                    Ticaret ve Sanayi A.$. Antalya Subesi 
                    (Topkap Pa), Guinal - Mapa Adi Ortakligi, 
                    Gulf Trading & Investment Limited, Gunal 
                    - Ferpa Adi Ortakhgi, Gunal - Mapa Dubai 
                    JV (Jumeirah-Seyh Zayed), Gunal Abu 
                    Dabi Ofis, Gunal Construction Trading 
                    & Industry Co. (Dubai Br) Main Offi, 
                    iGA Havaliman i letmesi A.$., iGA Havalimanlan 
                    in--aatl Adi Ortakhg Ticari i--letmesi, 
                    Jme Trading & Investments Limited, Kiana 
                    Sondaj Sanayi ve Ticaret A.$., Kle Kle 
                    Mining Inc., Kolin Cengiz Limak Mapa 
                    Adi Ortakhg, Kuyab Kundu Turizm Yatnme 
                    lan A.$., arimar Fze Limited, Makon 
                    Makina ve Konstructksiyon Sanayi Ticaret 
                    A.S., Mapa - Cengiz Adi Ortaklı 
                    ı, Mapa Azerbaycan Havalimanı 
                    antiyeleri, Mapa Azerbaycan Naftalan 
                    Otel In aat, Mapa Cengiz Jv Bulgaristan, 
                    Mapa Cezayir Cheliff (Baraj) antiyesi, 
                    Mapa Cezayir Jijel Otoyolu (Djen Djen 
                    - E Eulma), Mapa Cezayir Khemis Milliana 
                    Otoyolu, Mapa Cezayir Mostagenem Su 
                    Arıtma Istasyonu, Mapa Cezayir 
                    Pk Tünel, Mapa Cezayir Setif Isale 
                    Hattı antiyesi, Mapa Cezayir Stadyum 
                    (Tizi Ouzou), Mapa Cezayir Tlemcen/ 
                    Akkid Abbas Demiryolu, Mapa Günal 
                    Construction and Trade LLC - Katar, 
                    Mapa Günal Construction Co, Foreign 
                    Llc (Rta) - Dubai Jv, Mapa Günal 
                    Construction Co. Foreign Llc (Clinic) 
                    - SaudiArabia, Mapa Günal Oman 
                    LLC, Mapa Gürcistan Ofis, Mapa 
                    İn aat Abu Dabi Bae, Mapa In aat 
                    ve Ticaret A. ,(Suudi Arabistan ubesi),Mapa 
                    İn aat ve Ticaret A. ., Mapa İn 
                    aat ve Ticaret A. . Antalya ubesi (Kremlin 
                    Palace Ott), Mapa In aat ve Ticaret 
                    A. . Bodrum ubesi (Wow Bodrum), Mapa 
                    In aat ve Ticaret A. . Istanbul ubesi 
                    (Wow istanbul Air), Mapa In aat ve Ticaret 
                    A. .(Dubai ubesi), Mapa Libya Ofis, 
                    Mapa Limak MNG Co. (Hufar Al Batın), 
                    Mapa Limak MNG Jv (Ras Al Zaur) Mlm, 
                    Mcag Limited, Mceg Limited, Mdg Limited, 
                    Mega Au Turizm A. ., Mehmet Limited, 
                    Mehmet Nazif Günal In aat Taahhüt 
                    Ithalat Ihracat ve Mümess, Mepa 
                    Maden Endüstrive Pazarlama A. ., 
                    Merve Limited, Metropol Gulf Landscaping 
                    And Construction L.L.C, Mng Airlines 
                    Gmbh, MNG Baraj In aat ve Sanayi A. 
                    ., MNG Dekim Dekorasyon, Iç Mimarlık, 
                    Mobilya, Tasarım, Taahh, MNG Esma 
                    Elektro Sistemler Mühendislik Sanayi 
                    ve Ticaret A., MNG Esmosh Electrosystems 
                    Engıneerıng (Dubai Branch), 
                    MNG Faktoring A. ., MNG Gold Burkina 
                    Sari, MNG Gold Exploration Inc., MNG 
                    Gold Jersey, MNG Gold Liberia, MNG Havayollan 
                    ve Ta macjhk A .$., MNG Holding A.$., 
                    MNG Jet Havachk A.'$., MNG Kargo Kbns 
                    ubesi, MNG Kargo Yurt ive Yurt D1 1 
                    Ta machk A.'$., MNG Mipa MUmessillik 
                    MU avirlik ithalat ihracat Pazarlama 
                    Sa, MNG Orko Madencilik A.$., MNG Radyo 
                    Tv ve Medya Hizmetleri A.'$., MNG Sanal 
                    OrUn Pazarlama Sanayi ve D1 Ticaret 
                    A.$., MNG Sigorta AraCJhk Hizmetleri 
                    A.'$., MNG Sulama In aat ve Sanayi A.$., 
                    MNG Targem Ara trma Teknoloji Geli tirme 
                    MU avirlik Proje in, MNG Tesisat Klima 
                    Havalandrma Istma Sanayi ve Ticaret 
                    A.'$., MNG Turizm ve Ticaret A.'$, MNG 
                    Zemta Soil & Foundation Engmeering Construction 
                    Co In, MNG Zemta Zemin ve Temel MUhendisligi 
                    in aat A.$., Murathan Limited, Nazif 
                    Investments Limited, Palm Point, Pombero 
                    Limited, Rivercess Mining Inc., Sari 
                    Mapa Algerie Construction et Commerce, 
                    Sportscom AG, Techtrans Limited, Wow 
                    Investments Limited, Wow Real Estate 
                    Development, Zbg Investments Limited, 

                    Zemtas Abu Dhabi, Zeynep Limited, Zincirli 
                    Elektrik Oretimi ve Ticaret A.$., Zwedru 
                    Mining Inc. 
 Directorships     Ben Turizm Vet|Caret A. ., Hit Havayollari 
  in the            lkram Tesisleri A. ., Kizilagaç 
  last 5            Enternasyonal otelciı-ix rurizıııı 
  years:            in mt A. ., l |K Elektrik Üretimi 
                    vr rlcanrı a. ., MNG Gaz Dagitim 
                    VE T|Careta. ., MNG Haber Ajans| Ve 
                    T|Caret A. ., MNG Kompozit Üret|M 
                    Yap| Ve T|Caret A. ., MNG Net A. ., 
                    MNG Savsan Savunma Sanayi, Ticaret Mümessill|K 
                    VE Mü av|RLiK A. ., MNG Uydu Telev|Zyon 
                    Yay|Nclilgi A. ., Murathan Turizm Ve 
                    Ticaret A. ., Sedef Elektrik üretimi 
                    Vet|Caret A. ., Sema Elektr|K üretimi 
                    Ve T|Caret A. . 
 Number            Mr Gűnal holds no shares in his 
  of Ordinary       own name, however he is the beneficial 
  Shares            owner of MNG Gold Jersey Limited which 
  held in           following completion will own 662,222,429 
  the Company:      Shares, representing approximately 55% 
                    of the issued Shares of the Company 
 
 
 Full name:        Serhan Umurhan 
 Age:              43 years old 
 Current           Atmaca Mining Services Limited (fka 
  directorships:    Amlib Jersey Limited), Caymen Burkina 
                    Mines Limited, ER Burkina Exploration 
                    SARL, Etruscan Resources Burkina Faso 
                    SA, Jersey Netania Mining Limited, Kle 
                    Kle Mining Inc., MNG Gold Burkina SARL, 
                    MNG Gold Exploration Limited, MNG Gold 
                    Jersey Limited, MNG Gold Liberia Inc., 
                    MNG Orko Madencilik A , Rivercess Mining 
                    Inc., Zwedru Mining Inc. 
 Directorships     None to disclose. 
  in the 
  last 5 
  years: 
 Number            Nil* 
  of Ordinary 
  Shares 
  held in 
  the Company: 
 
 
 Full name:        Geoffrey Peter Eyre 
 Age:              42 years old 
 Current           Armada Minerals Limited, Atmaca Mining 
  directorships:    Services Limited, Caymen Burkina Mines 
                    Limited, Environminerals East Africa 
                    Limited, Explora One Limited, GPE Consulting 
                    Limited, Jersey Netania Mining Limited, 
                    MNG Gold Exploration Limited, MNG Gold 
                    Jersey Limited, NurtureEx B.V., NurtureEx 
                    Services Limited. 
 Directorships     51 Buckland Crescent (Freehold) Limited, 
  in the            Amlib Drilling Services (Liberia) Inc. 
  last 5            (fka Amlib North (Liberia), Amlib Holdings 
  years:            Plc, Amlib Services Limited, Amlib United 
                    Minerals Inc., Amlib United Minerals 
                    Jersey, Kokoya Iron Inc, Kokoya Iron 
                    Limited, Kokoya Jersey Limited, Kokoya 
                    Mining Inc (fka Amlib Kokoya Inc). 
 Number            10,000 shares held in own name* 
  of Ordinary 
  Shares 
  held in 
  the Company: 
 

*Note: Mr Umurhan and Mr Eyre are both directors of MNG Gold Jersey Limited which following admission will hold 662,222,429 Shares representing 55% of the Company's issued and outstanding Shares.

This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States or any other jurisdiction in which such an offer or solicitation is unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and applicable state laws. No public offering of securities will be made in the United States.

Contact Information

 
Aureus Mining Inc.          Buchanan 
 David Netherway / Geoff     Bobby Morse / Anna Michniewicz 
 Eyre                        Tel: [phone] 
 Tel: [phone] 
--------------------------  ------------------------------- 
Numis Securities Limited    RBC Capital Markets 
 (Aureus Nominated Adviser   (Aureus Financial Advisor) 
 and Broker)                 Richard Horrocks-Taylor 
 James Black / John Prior    / Richard Hughes 
 / Paul Gillam               Tel: [phone] 
 Tel: [phone] 
--------------------------  ------------------------------- 
 

Forward Looking Statements

Certain information contained in this Announcement constitutes forward looking information. This information may relate to future events or the Company's future performance. All information other than information of historical fact is forward looking information. The use of any of the words "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "should", "believe", "predict" and "potential" and similar expressions are intended to identify forward looking information. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward looking information. No assurance can be given that this information will prove to be correct and such forward looking information included in this Announcement should not be unduly relied upon. This information speaks only as of the date of this Announcement. Such forward looking information includes, among other things, statements or information relating to: the Admission and commencement of dealing in the Shares.

With respect to forward looking information contained in this Announcement, assumptions have been made regarding, among other things: the approval of the TSX in connection with the Offering, and the Admission of the Shares on AIM.

Actual results could differ materially from those anticipated in the forward looking information contained in this news release as a result of the risk factors, including: the risk that the waiver and standstill agreement will terminate; risks normally incidental to exploration and development of mineral properties; the inability to obtain required waivers and amendments from the Company's creditors in respect of its debt repayment obligations and consequential risks of default thereon; risks related to operating in West Africa; health risks associated with the mining workforce in West Africa; risks related to the Company's title to its mineral properties; adverse changes in commodity prices; risks related to current global financial conditions; the inability of the Company to obtain, maintain, renew and/or extend required licences, permits, authorizations and/or approvals from the appropriate regulatory authorities and other risks relating to the legal and regulatory frameworks in Liberia, including adverse changes in applicable laws; competitive conditions in the mineral exploration and mining industry; risks related to obtaining insurance or adequate levels of insurance for the Company's operations; risks related to environmental regulations; uncertainties in the interpretation of results from drilling; risks related to the legal systems in Liberia; risks related to the tax residency of the Company; changes in exchange and interest rates; risks related to the activities of artisanal miners; actions of third parties that the Company is reliant upon; lack of availability at a reasonable cost or at all, of plants, equipment or labour, including required equipment, explosives and other necessary material not being delivered in the expected time frame, or at all; the inability to attract and retain key management and personnel; political risks; and future unforeseen liabilities and other factors.

The forward looking information included in this Announcement is expressly qualified by this cautionary statement and is made as of the date of this Announcement. The Company does not undertake any obligation to publicly update or revise any forward looking information except as required by applicable securities laws.

This information is provided by RNS

The company news service from the London Stock Exchange

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July 15, 2016 13:30 ET (17:30 GMT)