AASMF will redeem preference shares held in one of Orion’s key project subsidiaries for shares in Orion.
The value of the shares to be issued by Orion in consideration for the redemption will be between ZAR23.98 to ZAR24.99 million or about A$2.39 to A$2.50 million.
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Orion’s managing director and CEO Errol Smart said: "AASMF’s original seed capital investment into Orion’s Repli subsidiary in 2015 was pivotal in helping to fund the early engineering work and to drill the first holes that demonstrated the huge potential of the Prieska deposit.
“This in turn assisted Orion in securing substantial foreign investment that has allowed us to advance the Prieska Project to the point where we have recently published a scoping study and updated mineral resource and are poised to deliver a comprehensive bankable feasibility study in Q2 2019.”