FROM THE BROKING DESK
There’s been some coverage in the UK press of asset sales by Anglo American and Glencore. I’d just like to draw your attention to the Anglo American sale of the Foxleigh coal mine in Queensland to a consortium led by the private equity group Taurus; RFC Ambrian had a joint advisory role on this deal (with BofAML). It is the second asset sale of this type that we’ve been involved with. These asset sales to private equity and high net worth individuals reflect a trend that is gathering some momentum in the market.
There’s been more news from GB MInerals†† (GBL CN) regarding its capital structure. GB MInerals has placed 265,328,536 new common shares at C$0.055/share (for gross proceeds of US$11.2m) to Zaff LP. As a result, Zaff will own 51.6% of the share capital, diluting Aterra down to 30%. The placement is subject to shareholder approval.
Proceeds will be used for the continued development of the Farim Phosphate Mineral Project in Guinea-Bissau. They’ll also fund litigation involving GBM Minerals Engineering. CEO Luis da Silva said: “We are extremely pleased to inform all stakeholders of this significant capital contribution that will enable the advance of pre-construction work on the ground. The substantial support from Zaff following the most recent placement in March further endorses the project and is indicative of the company’s continued development. As a Board, we have considered and reviewed alternative forms of funding ahead of the debt financing and believe this private placement presents the best value for all shareholders. We look forward to closing this and advancing with the debt.”
We are marketing Tim Carstens of Base Resources*† (BSE LN/AU) in London on the morning of Wednesday 13 April and all day on Thursday 14 and Friday 15. Please let us know if you’d like a meeting. We are also marketing Matt Gill of White Rock Minerals†† (WRM AU), which is developing the Mt Carrington Gold-silver Project in New South Wales, Australia.