Premier African Minerals Limited

Regulatory Filings • May 1, 2018

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RNS Number : 6543M

Premier African Minerals Limited

01 May 2018

Premier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining

For immediate release

1 May 2018

Premier African Minerals Limited

Sale of interest in Casa Mining

Premier African Minerals Limited ("Premier" or the "Company") announces is has today accepted the general offer made by Arc Minerals Limited ("Arc Minerals") to all CASA Mining Limited ("Casa") shareholders and thereby converted its entire interest in Casa into new Arc Minerals shares.     

On 6 November 2017, Arc Minerals (formerly known as Ortac Resources Limited) announced that it would make an offer to acquire all of the outstanding shares in Casa ("Sale Shares") for a consideration of 14.85 shares in Arc Minerals for each Sale Share (the "Casa Offer"). Further details of the Casa Offer can be found in the Arc Minerals' announcements dated 6 and 10 November 2017. 

The Casa offer is due to close on 10 May 2018 and Premier has today accepted the Casa Offer. Premier currently owns 412,500 Casa shares representing approximately 4.5% of Casa's issued share capital and will therefore receive as consideration 6,128,822 new Arc Minerals shares ("Consideration Shares"), representing approximately 1.9 per cent. of the enlarged issued share capital of Arc Minerals. At the last closing Arc Minerals' mid-market price of 2.45p, the Consideration Shares would be valued at approximately £0.150 million.

About Arc Minerals

ARC Minerals is an AIM-traded, (ticker: ARCM) diversified natural resource company which holdings include:

·     A 95.9% interest in CASA Mining Limited, a private company that has a 71.25% interest in the 1.5-million-ounce inferred Resource Akyanga gold deposit in the DRC;

·     A 14% interest in Zamsort Limited, a private company focused on a prospective copper and cobalt licence in the Zambian Copperbelt, with approximately a six percent balance and interest (convertible note) being rolled forward to the end of 2018;

·     100% ownership of the Kremnica Mining Licence Area in Slovakia which host the 1.3-million-ounce gold equivalent Pre-Feasibility Stage Ṧturec Gold Project;

·     A 18.48% interest in Andiamo Exploration Limited, a private company exploring for gold and base metals volcanogenic massive sulphide targets in Eritrea.

Further AIM Disclosures

For the six months ended 30 September 2017, Arc Minerals reported an unaudited loss before tax of £0.304 million. As at the same date, Arc Minerals' total assets amounted to £17.185 million. The Consideration Shares will initially be retained by Premier for a period of six months from the date of admission of the Consideration Shares ("Lock-in Period"), following which, the Consideration Shares may be sold through Arc Minerals' brokers to ensure orderly market conditions are maintained. As at 30 June 2017, the book value of Premier's interest in Casa was US$300,000 and for the period ended December 2016, Casa reported a loss before tax of US$1,760,000.

This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014. The person who arranged for the release of this announcement on behalf of the Company was George Roach, Director.

For more information visit www.arcminerals.com

Enquiries:

Fuad Sillem	Premier African Minerals Limited	Tel: +44 (0)7734 922074
Michael Cornish / Roland Cornish	Beaumont Cornish Limited (Nominated Adviser)	Tel: +44 (0) 20 7628 3396
Jerry Keen/Edward Mansfield	Shore Capital Stockbrokers Limited	Tel: +44 (0) 20 7408 4090
Jonathan Evans	Brandon Hill Capital Limited	Tel: +44 (0) 20 3463 5000

Notes to Editors:

Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused on Southern Africa with its flagship RHA project in Zimbabwe.

The Company has a diverse portfolio of projects, which include tungsten, rare earth elements, lithium and tantalum in Zimbabwe, encompassing brownfield projects with near-term production potential to grass-roots exploration. In addition, the Company holds 5,010,333 shares in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, which has the potential to be a world class asset. Premier also has an interest in Arc Minerals that has a number of mineral assets in Europe and Africa.

Forward Looking Statements:

Certain statements in this announcement are or may be deemed to be forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'' ''could'' "should" ''envisage'' ''estimate'' ''intend'' ''may'' ''plan'' ''will'' or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward looking statements.

ENDS

This information is provided by RNS

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