Stranger Holdings PLC Corporate Update (0435A)

TIDMSTHP

RNS Number : 0435A

Stranger Holdings PLC

21 September 2022

21 September 2022

STRANGER HOLDINGS PLC

("Stranger" or the "Company")

Corporate Update

Stranger Holdings plc (LSE:STHP) is pleased to provide an update on corporate activities as it advances the reverse-take-over ('RTO') of the Company by Mayflower Energy Metals Ltd ('MEML') and its acquisition of the Henkries Uranium Project ('Henkries' or 'the Project') in South Africa.

The MEML RTO transaction continues to progress, with the initial Prospectus relating to the transaction now submitted to the FCA, and the re-admission to the London Stock Exchange likely to take place in Q4 2022.

Progress has also been made towards fast-tracking the Henkries Uranium Project in South Africa to production, where previous positive feasibility studies have been completed and where an updated Competent Persons Report was completed in February 2022. While work continues on the Project's planned development path, the Company aims to undertake metallurgical analysis and extensive exploration and development shallow drilling programmes to increase its Mineral Resource Estimate to support this accelerated development timetable for the Project.

In line with this, MEML has completed a detailed review of the historic feasibility studies and extensive resources and exploration drilling database and has further sourced detailed radiometric and electromagnetic survey data for the Project and the surrounding prospecting rights, which will significantly enhance the focus of the exploration and development programmes and save on budgeted costs.

As part of the RTO process, approx. GBP337,000 of funds have been secured by MEML to advance the Project and fund the RTO, through UK-based First Equity Limited and OvalX, which have been retained as brokers for the RTO and the Company upon the planned resumption of trading on the Standard List of the London Stock Exchange.

Additionally, certain requirements for the RTO have now been successfully completed in the UK and in South Africa, in particular the agreement of an equity conversion of the Dover Harcourt and other debt holders' positions in the Company and the key conditions in the purchase and establishment of South African operating entities including Desert Star Trading 130 Pty Ltd and Neo Uranium Resources South Africa Pty Limited by MEML.

A new corporate and regional management team together with additional board members have been identified, which will bring significant uranium and African project development experience to the Company at the time of re-listing. Furthermore, several uranium acquisition targets have been identified to support the expansion of the Company's' uranium portfolio, which include local extensions to Henkries and regional opportunities in Africa and internationally.

Stranger Chairman and CFO, James Longley, said: "This is an exciting transitional period for the Company as it advances plans to become a supplier of uranium to the burgeoning nuclear energy market. Given the key role nuclear energy can play as a primary source of low-carbon electricity generation at a time when governments worldwide are focused on delivering both energy security and NetZero targets, many commentators believe that this is the start of a bull uranium market; our timing to enter this sector could therefore not be better.

"On re-listing, our primary focus will be on developing the Henkries Uranium Project in South Africa, and bringing it into production, whilst also exploring other opportunities to strengthen the uranium portfolio. To this end, we have identified a team of experts to drive the business forward and deliver on our aggressive expansion plans post RTO. We look forward to providing further details and an update on our progress in the near future."

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For further information visit www.strangerholdingsplc.co.uk or contact the following:

 
Stranger Holdings   James Longley  [e-mail] 
 plc 
St Brides Partners  Financial PR   [e-mail] 
 Ltd 
 

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September 21, 2022 02:00 ET (06:00 GMT)