JOHANNESBURG (miningweekly.com) – Aim-listed StratMin Global Resources has received an initial £75 000 from ASX-listed Bass Metals as part of the Australia-based company’s £2-million earn-in agreement to acquire a 25% stake in StratMin’s Graphmada Mauritius subsidiary.
Bass Metals noted in a statement on Thursday that it had received indicative commitments from investors for the funding of an initial £500 000 to help finance the acquisition.
Funding for this first tranche of the Graphmada Mauritius transaction would be met by the placement of 94-million fully paid ordinary shares with sophisticated and existing investors.
Meanwhile, the completion date for the acquisition had also been extended to October 21, to accommodate interest from Bass’s key offshore investors.
"It is very encouraging to see the market support for our new partner. They have managed to raise funds at a significant premium to their share price at the time of the original announcement of our deal.
“This is a clear indication of the support from the Australian graphite market for what we are doing at StratMin. I am looking forward to closing out the remainder of this transaction with Bass and accelerating the expansion programme with the resulting additional funding,” StratMin CEO Brett Boynton commented.
StratMin owned the Loharano graphite mine, in Madagascar, through its Graphmada Mauritius subsidiary. The company was working towards expanding production capacity to 6 000 t/y of processed flake graphite.