BEZANT RESOURCES PLC

Share Issue/Capital Change • Jul 5, 2017

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RNS Number : 2202K

Bezant Resources PLC

05 July 2017

5 July 2017

Bezant Resources Plc

("Bezant" or the "Company")

Equity fundraising of approximately £585,000 gross for

Production Ramp-up at Choco Project, Colombia

Bezant (AIM: BZT), the AIM quoted gold and platinum development company,  announces that it has raised, in aggregate, approximately £585,000 (approximately US$754,650) before expenses, through a conditional placement, via Beaufort Securities Limited ("Beaufort Securities") and Peterhouse Corporate Finance Limited ("Peterhouse"), as well as a subscription, with certain existing and new institutional and other investors, of, in aggregate, 68,823,529 new ordinary shares of 0.2 pence each in the capital of the Company (the "Placing and Subscription Shares") (the "Fundraising") at a price of 0.85 pence per new ordinary share (the "Issue Price"). It is anticipated that this fundraising will support the Company into first, full, regular gold-platinum production at its wholly owned Choco Project, Colombia following the initial plant's commissioning as announced on 26 June 2017.

Highlights:

·     Issue of 68,823,529 Placing and Subscription Shares at a price of 0.85 pence per new ordinary share.

·     Proceeds will provide the Company with all the required funds to bring the Company into first, full, regular gold and platinum production at its Choco Project in Colombia.

·     Production to now begin this month (July) following the recent successful plant commissioning, as announced on 26 June 2017.

Edward Nealon, Chairman of Bezant, commented:

"Today's fundraising will support the Company as we seek to commence and then ramp-up to regular gold and platinum production at our Choco Project in Colombia.  I would like to thank our shareholders for their continued support as we continue to pursue a new economically attractive platinum and gold recovery model and I look forward to announcing first recoveries in the near term."

Further Details:

A warrant to subscribe for a further 1 new Ordinary Share at 2 pence per share shall accompany every 2 Placing and Subscription Shares (the "Warrants"). The Warrants are exercisable for a period of one year from the date of Admission (as defined below), save that should the Company's volume-weighted average share price exceed 2.5 pence for a period of five consecutive trading days the Company shall be entitled to give holders of the Warrants 7 days' notice that their Warrants must be exercised within a further 24 days, failing which they will otherwise expire.

The Issue Price represents a discount of approximately 15 per cent. to the closing mid-market price of 1.00 pence per ordinary share on 4 July 2017 (being the latest practicable business day prior to the date of this announcement).

The Fundraising is conditional on admission of the Placing and Subscription Shares to trading on AIM ("Admission"). Following Admission, the Placing and Subscription Shares will represent, in aggregate, approximately 17.26 per cent. of the Company's enlarged issued ordinary share capital.

Under the terms of the placing agreement, Peterhouse and Beaufort Securities will each receive commission from the Company conditional on Admission of the Placing and Subscription Shares and the Company will give customary warranties and undertakings in relation, inter alia, to its business and the performance of its duties. Beaufort Securities will also receive a warrant over 1,470,588 ordinary shares exercisable at a price of 1.5 pence per share expiring two years from, and conditional on, Admission of the Placing and Subscription Shares. The Fundraising is not being underwritten.  

Use of Funds

The net proceeds from the Fundraising will primarily be utilised to support the Company into first, full, regular gold-platinum production at its Choco Project in the Choco Region, Western Colombia, following the plant commissioning process announced on 26 June 2017, as well as for general working capital purposes. First production of free gold and platinum is currently scheduled to commence during July 2017.

Application to trading on AIM

Application will be made to the London Stock Exchange for the Placing and Subscription Shares to be admitted to trading on AIM. It is expected that Admission will become effective and that dealings in the Placing and Subscription Shares will commence at 8.00 a.m. on 11 July 2017.

Following the issue of the abovementioned Placing and Subscription Shares, the Company's total issued share capital will consist of 398,777,036 ordinary shares with voting rights.  The Company does not hold any ordinary shares in treasury and accordingly there are no voting rights in respect of any treasury shares. The Placing and Subscription Shares will be fully paid and will rank pari passu in all respects with the Company's existing ordinary shares.

On Admission, the above figure of 398,777,036 ordinary shares may be used by shareholders in the Company 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, Bezant under the Financial Conduct Authority's Disclosure and Transparency Rules.

For further information, please contact:

Bezant Resources Plc Bernard Olivier Chief Executive Officer Laurence Read Executive Director / Communications Officer                            Strand Hanson Limited (Nomad)  James Harris / Matthew Chandler / James Dance Beaufort Securities Limited (Broker)  Elliot Hance Peterhouse Corporate Finance Limited Lucy Williams/ Duncan Vasey/ Heena Karani or visit http://www.bezantresources.com	Tel: +61 40 894 8182 Tel: +44 (0)20 3289 9923 Tel: +44 (0)20 7409 3494 Tel: +44 (0)20 7382 8300 Tel: +44 (0)20 7469 0930

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014.

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