Rockfire Resources - Placing to Fund Expansion Drilling at Lighthouse
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR")
("Rockfire" or the "Company")
Placing to Fund Expansion Drilling at Lighthouse
· Drilling is expected to increase the JORC category to Measured and Indicated;
· Plateau has similarities to the 1.5m-ounce
· Gold mineralisation at Plateau is open in all directions;
· Previous drilling at Plateau includes 22m @ 1.9g/t Au (from 32m), 5m @ 7.5g/t Au (from 40m) and 7m @ 2.7g/t Au (from 17m).
Details of the Placing
Rockfire has raised gross proceeds of
Should the Company's volume weighted average share price equal or exceed
In conjunction with the Placing,
"It is pleasing to have completed this placing to provide funding for the expansion of the resource at Plateau, as well as to target an uplift in the confidence of the resource category. To move towards eventual monetisation of the Plateau Gold Deposit, the increase in confidence from the Inferred category to the Measured and Indicated is a significant step towards achieving this goal."
"Management is committed in our focus on building value in our portfolio through skilled project assessment, commercially-driven geological work, prudent expenditure and appropriate capital raisings. We have a talented team with the practical experience to drive our mining interests forward and I look forward to announcing news of progress from our planned drilling at Plateau."
"I would personally like to thank our existing shareholders for their continued support, as well as welcoming new shareholders to the Rockfire register. We are ready to increase our momentum as we undertake critical, vigorous and exciting project development by our planned resource expansion and upgrade drilling program We look forward to updating shareholders further on our activities over coming months."
Further Details on Plateau
The Rockfire technical team has observed numerous important similarities between Plateau and the operating
Zinc and Lead (+/- Silver) ratios at Plateau are similar to the upper levels of Mt Wright (from surface down to 160m deep), indicating that the best developed gold mineralisation may potentially be deeper than the current level of drilling. The main lode mineralisation at Mt Wright was not intersected until 160m below surface, with mineralisation extending beyond 1,200m below surface.
Plateau and Mt Wright share similarities including;
ü a Permo-Carboniferous breccia complex host, with predominantly polymict breccia;
ü they both occur in close proximity to an intrusion of rhyolitic composition;
ü both deposits contain tuffisite pipes (a fine-grained, milled breccia);
ü they have approximately similar geometry and size;
ü the rhyolites comprise flow-banding and breccia phases.
Funds raised via the Placing will be used to expand gold resources at the Plateau Deposit in areas where previous drilling has intersected 22m @ 1.9g/t Au (from 32m), 13m @ 1.9g/t Au (from 26m), 5m @ 7.5g/t Au (from 40m), 7m @ 2.7g/t Au (from 17m) and 8m @ 2.0g/t Au (from 8m). All depths are quoted as vertical depths.
The Placing proceeds will also be used to increase the level of confidence of the resource at Plateau from the 'Inferred' category to the 'Measured and Indicated' category. In particular, the top 50m from surface will be targeted to provide open cut mining opportunity for the Company. Lighthouse has three operational gold processing plants within 50km, which forms an integral part of the company's strategy to monetise these resources.
A link to a plan showing the target zones for drilling at Plateau is provided here.
Admission and Total Voting Rights
The Placing has been completed using the Company's existing share authorities. Admission of the Placing Shares to trading on AIM is expected to occur at
On Admission, the Company will have 552,552,943 ordinary shares of 0.1p each in issue, each with one voting right. The Company does not hold any Ordinary Shares in treasury. Therefore, from Admission, the total number of Ordinary Shares and voting rights in Company will be 552,552,943.
With effect from Admission, the above figure of 552,552,943 may be used by shareholders 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, the share capital of the Company under the
For further information on the Company, please visit www.rockfireresources.com or contact the following:
Tel:+44 (0) 20 3328 5656
Tel: +44 (0)20 7374 2212
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Tel: +44 (0)14 8341 3500
This information is provided by RNS, the news service of the
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