www.snrplc.co.uk
SNR intends to develop, own and manage natural resource extraction enterprises in southern Africa. SNR will concentrate, initially, on managing the development of and the investment in the Elitheni Mine, in the Gubahoek/Macubeni area of the Eastern Cape. Further opportunities both in South Africa itself and elsewhere in the southern part of the continent will be followed up as they arise. The company’s main country of operation is the Republic of South Africa.
Strategic Natural Resources receives balance of £600,000 for placing; Brennan becomes non-exec director
Cooch 1095 Ltd has paid the balance of £600,000 to Strategic Natural Resources (LON:SNRP) connected to the placing to raise £1,9 million, which was announced last month.
Strategic Natural Resources also revealed today that Andrew Brennan has been hired as non-executive director with immediate effect - as nominated by Cooch as part of the terms of the placing.
The fundraising is aimed at bolstering the company's plans to supply coal from its Elitheni coal project in South Africa, it said on August 25.
Its largest shareholder - Cooch 1095 Ltd - is acquiring all 10 million shares issued and the placing was priced at 19 pence a share - a 38 per cent premium to the closing price on August 24, it added.
SNR had said the placing would be completed in two tranches. The first tranche of £1.3 million, through the issue of 6.84 million shares, had already been received, and the second tranche of £600,000, through the issue of 3.15 mln shares, was pending.
Cooch will own 25 million shares, which represents a 20.99 per cent of SNRP's issued share capital.
The net proceeds will be used to buy capital equipment to further advance its plans for the beginning of underground mining at the Elitheni mine, which when coupled with the initial opencast production, will ensure that initial sufficient tonnages of mined product are available for supply.
Brennan, who has 37 years experience in banking, will work closely with the firm's CEO, David Nel and FD, Edward Cox to assess the most appropriate types of financing for the company, for the development of the Elitheni Coal mine in South Africa.
Nel said today: "We are delighted to welcome Andrew to the board, who will be representing Cooch which has so supportively backed the development of this Company.
"We are confident that Andrew's banking and financial experience will greatly assist us in our current stage of development as we finalise matters on the overall financing strategy for the development of the Elitheni Coal Mine and the commencement of coal exports."
