Edenville Energy PLC Placing to raise £500,000 (1388L)

TIDMEDL

RNS Number : 1388L

Edenville Energy PLC

29 September 2016

 
                                          29 September 2016 
                                         EDENVILLE ENERGY PLC 
                                    ("Edenville" or the "Company") 
                                     Placing to raise GBP500,000 
     Edenville Energy plc (AIM:EDL), the Company developing a coal-to-power project in south west 
     Tanzania is pleased to announce that it has raised GBP500,000 (before expenses) through the 
    issue of 125,000,000 new ordinary shares of 0.02 pence each ("Ordinary Shares") in the capital 
     of the Company at a price of 0.4 pence per Ordinary Share (the "Placing Shares") to new and 
     existing shareholders (the "Placing"). In addition to the Placing, which was oversubscribed, 
    a total of 62,500,000 warrants have been issued to the subscribers on the basis of one warrant 
    for every two Placing Shares, exercisable at 0.54 pence per warrant at any time over the next 
                                              12 months. 
  The net proceeds from the Placing will be used for the advancement of commercial mining operations 
      at the Company's Rukwa site in Tanzania, the continuation of the technical and regulatory 
  requirements for the Company's Rukwa Coal to Power Project and for general corporate requirements. 
                                              Admission 
   Application will be made for the Placing Shares to be admitted to trading on AIM ("Admission"). 
      It is expected that Admission will become effective on or around 4 October 2016. Following 
      the Placing, the issued share capital of the Company will be 746,353,005 Ordinary Shares. 
       The shares issued in the Placing will rank pari passu with the existing Ordinary Shares. 
     Following the Admission of the Placing Shares, there will be a total of 746,353,005 Ordinary 
      Shares in issue with each share carrying the right of one vote. The Company does not hold 
   any ordinary shares in treasury. The above figure 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 change to their interest in, the Company under the FCA's Disclosure Guidance and Transparency 
                                                Rules. 
                                         Prospecting Licence 
     A new Prospecting Licence ("PL") has been granted to the Tanzanian subsidiary of Edenville. 
      PL 10884/2016 replaces PL 6101/2009, subsequent to the carve out of the Company's Mkomolo 
                mining licence (ML 562/2016). PL 10884/2016 is 30.1 square km in size. 
      This announcement contains inside information for the purposes of Article 7 of Regulation 
                                            (EU) 596/2014. 
      Rufus Short, CEO commented: "We have been seeing strong interest from potential commercial 
     customers for our coal following the government's recent ban on coal imports into Tanzania. 
     These funds have been primarily raised to progress and take advantage of these opportunities 
     to move Edenville rapidly to become a coal producer, albeit likely at a modest scale in the 
      first instance. Our primary focus remains developing our Rukwa Coal to Power project which 
    will be able to fully exploit our coal resource, but moving into production will both provide 
              an income stream for the Company and demonstrate the quality of our coal." 
                     For further information please contact:Edenville Energy Plc 
             Rufus Short - CEO                                       [phone] 
                        Northland Capital Partners Limited (Nominated Adviser) 
                                             Gerry Beaney 
             David Hignell                                           [phone] 
                                  Optiva Securities Limited (Broker) 
                                              Jeremy King 
             Graeme Dickson                                          [phone] 
                                             IFC Advisory 
                                         (Financial PR and IR) 
                                             Tim Metcalfe 
                                            Graham Herring 
             Heather Armstrong                                       [phone] 
 

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September 29, 2016 02:00 ET (06:00 GMT)