Anglesey Mining Reports Positive Results of Scoping Study on Parys Mountain Mine

Anglesey Mining plc

 

24 July 2017        LSE:AYM

 

Anglesey Mining Reports Positive Results of

Scoping Study on Parys Mountain Mine

Viable mining project demonstrated with initial eight-year mine life

Anglesey Mining plc (“Anglesey” or the “Company”) is pleased to report, in summary, the results of its recently completed 2017 Scoping Study on its wholly owned Parys Mountain copper-lead-zinc project in North Wales.

The Scoping Study was prepared by Micon International Limited (Micon) and Fairport Engineering Ltd (Fairport).

The selected base case envisages a mining rate of 1,000 tonnes per day, to produce an average annual output of 14,000 tonnes of zinc concentrate at 57% Zn, 7,200 tonnes of lead concentrate at 52% Pb and 4,000 tonnes of copper concentrate at 25% Cu, annually, over an initial mine life of eight years.

The overall net smelter return (NSR) for the three concentrates, including the silver and gold precious metals contributions, is expected to total more than $270 million at the forecast metal prices used for the base case models.

The base case yields a pre-tax net present value of $33.2 million, or £26.6 million, at a conservative 10 per cent discount rate, using present day metal prices of $1.25 per pound for zinc, $1.00 per pound for lead, $2.50/pound for copper, $17.50 per ounce for silver and $1,275 per ounce for gold and at an exchange rate of £1.00 = $US1.25. With an estimated pre-production capital cost of $53 million, or £42 million, this results in an indicated internal rate of return (IRR) of 28.3%.

Using longer term metal price projections of $1.35 per pound for zinc and $3.00 per pound for copper the NPV10 would be $43.2 million, or £34.6 million. At an 8% discount rate, used to reflect the relatively low risks of the project given its advanced level of development and low political risk in the UK, the NPV8 would be enhanced to $41 million, or £32.8 million, for the base case metal price scenario and to $53 million, or £42 million for the higher long-term metal prices, with an IRR of 33%

To illustrate the comparison and put the results of the Scoping Study into context, the market capitalisation of the Company at the close of trading on 21st July was £8.9 million.

Importantly, the study was based on only the 2.1 million tonnes of indicated resources reported by Micon in 2012. Micon had also reported a further 4.1 million tonnes of inferred resources which were not incorporated into the Scoping Study.  It is expected that a high proportion of these inferred resources will be converted to indicated resources once exploration drilling from underground takes place.  These additional resources would be processed through the same concentrator plant and would significantly increase the projected life of the mine, to perhaps double the mine-life to 15 or 18 years, and enhance the NPV.

Bill Hooley, Chief Executive commented “We are very pleased with the results of the Scoping Study which demonstrate a viable mine development at Parys Mountain and a healthy financial internal rate of return. The base case economic model at 1,000 tonnes per day indicates a robust project at consensus forecasts for the long-term prices of zinc and copper. This is the first detailed economic study of the Parys Mountain project for a number of years and, based on the current availability of reconditioned process plant, the estimated pre-production capital cost for the project is at a level that could be financeable.”

The pre-tax net present values, at 10% and 8% discount rates, and internal rates of return, are illustrated in the table below, all at a Sterling:US dollar exchange rate of £1.00 = $US1.25. The table also demonstrates the sensitivities of the Parys Mountain Project to zinc and copper prices.

 

Metal Prices Pre-Tax
Zinc

$/lb

Lead

$/lb

 Copper

$/lb

Silver

$/oz

 Gold

$/0z

Undiscounted

$M

NPV (10%)

$M

NPV (8%)

$M

IRR

%

1.25 1.00 2.50 17.50 1,275 91.2 33.2 41.0 28.3
1.35 1.00 3.00 17.5 1,275 110.8 43.2 52.4 33.1
Foreign Exchange assumed to be £1.00: $US1.25

Summary of 2017 Scoping Study

Mine Development Plan

The original feasibility studies conducted on the Parys Mountain project in the 1990s envisaged production at a rate of 1,000 tpd being mined at depth through the 300-metre-deep Morris Shaft. During the period 2006-2010 Anglesey Mining carried out a detailed drilling programme on the White Rock Zone which lies adjacent to the Morris Shaft and largely overlies the deeper Engine Zone deposits, but which extends to surface.  As a result of this drilling the 2012 resource estimate carried out by Micon included both the White Rock Zone and the Engine Zone.

A new mining plan based on a surface decline to access the White Rock zone was prepared. The proposed decline would be developed by mining contractors and would be used as the initial means of access to the resource for development and mining. Mined ore would be trucked up the decline to the proposed surface processing plant. During the initial production phase from White Rock the decline would continue to be driven to reach the current bottom of the Morris Shaft and beyond.  The shaft would then be dewatered and deepened by approximately 150 metres and would be recommissioned as a hoisting shaft for the remnant White Rock ore and for the deeper Engine Zone ore.

Production Alternatives

The initial work on the Scoping Study was designed on a throughput of 500 tonnes per day using conventional processing. As the first results became available it became apparent that a higher daily production throughput would be financially more attractive to potential financiers.  Accordingly, assessment of increased throughput alternatives of 700 tpd and 1,000 tpd were added to the initial scope of the study.  This extra work necessitated additional time and resulted in finalisation of the study being delayed beyond its originally expected completion date.

In addition, the concept of adding a dense media separation plant ahead of the main concentrator was reviewed. Dense media separation (DMS) is a process technology to remove largely non-metal bearing material from the mine feed ahead of the concentrator.  This results in a substantial reduction in the tonnage of ore to be treated by the concentrator.  Obviously, there are additional costs associated with building and operating a DMS plant, and there is some loss of metal associated with the DMS tailings, but overall inclusion of a DMS plant improves the financial performance.

Concurrent with evaluation of these processing options, mine planning at 700 tpd and 1,000 tpd was also studied. Mining would be carried out initially from the main decline using rubber-tyred equipment including drill jumbos, load-haul-dump machines and trucks to remove development waste to surface and production ore to the processing plant.  It was concluded that after an initial ramp-up period, the higher production level can be maintained.  In due course, the lower level of the shaft will be accessed from the decline and deepened as originally planned. The existing hoist and headframe will be refurbished and used to bring ore to the surface for delivery to the adjacent processing plant.

The planned processing plant was initially designed in a modular form with an initial capacity of 500 tpd throughput expandable to 1,000 tpd to minimise up-front capital costs. The plant will consist of crushing and grinding followed by conventional three stage flotation to produce copper, zinc and lead concentrates to be shipped to smelters in Europe.

The study clearly showed that the best financial results can be obtained with the higher throughputs. There is relatively little additional capital cost required for the higher throughput options and this increase is rapidly offset by lower unit operating costs and increased revenue.

Based on these outcomes it was concluded that the preferred development option for the Parys Mountain Mine is a 1,000 tpd mine and plant with a DMS section ahead off the main concentrator. This will generate a mine life of approximately eight years.

Mineral Resources and Exploration Potential

The 2017 Scoping Study utilises the Micon 2012 JORC Code compliant resource estimate of 2.1 million tonnes at 6.9% combined base metals in the indicated category. Micon had also reported a further 4.1 million tonnes at 5.0% combined base metals in the inferred category. These inferred mineral resources were not included in the current study but would have significantly extended the projected operating life of the mine with a consequential increase in the resultant estimated valuation.

As reported in 2012, the resource estimate was made using a gross metal product value cut-off of $80 per tonne. It is noted that the cash operating cost of the project, prior to royalties and taxes, is forecast at $47 per tonne.  This will enable some further review of the resource to be undertaken.  A lower cut of-grade would increase the tonnes in the indicated category at the same time as reducing the grade.  The larger tonnage would increase the mine life but would reduce the annual revenue due to the lower feed grade to the plant.  An optimisation study will be required to determine the optimum cut-off grade that would provide the maximum increased return over that currently reported.

It is also noted that in addition to the indicated and inferred resources reported by Micon, the Parys Mountain area, over which the Company holds the mineral rights, contains numerous indications of mineralisation across several kilometres many of which have been disclosed in earlier releases and reports. The Company has recognised that as most of these indications have been encountered in drilling at some depth, further exploration would be more effective from underground locations once mining operations commence.  Should any of these exploration efforts prove successful an increased throughput and a further extended mine life would be the likely outcome.

Scoping Study Results

Capital Costs:

The pre-production capital cost of the preferred option base case including mining, DMS, concentrator and infrastructure is estimated at $53 million. The initial capital cost for mine development is estimated to be $13 million, the concentrator $29.5 million including $3 million for the DMS plant and infrastructure $10 million, for a total of $53 million.  Included within these figures is a $4 million contingency provision.

The major component of capital costs is initially associated with the processing plant and surface infrastructure.   Capital costs have been estimated based on quotes provided by equipment suppliers together with construction costs forecast by Fairport. Capital costs for the processing plant and infrastructure includes, when suitable, some used and reconditioned plant which has been identified as readily available.  The remainder would be new equipment.

Despite the quite wide spread in throughputs studied it became apparent that the lower throughput options did not present significant savings in capital cost. This is largely due to minimum equipment sizes required for several units that could also accomplish the duty for the higher throughputs and with the fixed items for work required for buildings, construction etc that do not change materially across the throughput range.

Mine development capital costs are based on all new equipment and on mine contractor development costs.

Operating Costs:

Operating costs have been developed by Micon and Fairport based on current knowledge and experience. Cash operating costs at the higher levels of production are forecast at around $47 per tonne of ore treated. Whilst capital costs were fairly constant across the throughput spectrum, operating cash costs per tonne of ore mined and milled varied significantly with the higher throughputs benefitting from much lower costs. This led to the clear conclusion that the higher the throughput the better the financial result.

The following table shows the key outcomes derived for each of the options studied.

 

  500tpd no DMS 700 tpd no DMS 700 tpd with DMS 1,000 tpd with DMS
Life of Mine (Years) 16 12 12 8
Initial Capital Cost $m 48 50 52 53
Operating cash cost $/t 63 55 53 47
NPV10 $m * 9.0 21.6 19.3 33.2
IRR % * 13.8 20.3 18.8 28.3
Payback (Years) * 7 5 5 4

Pre-Tax Based on Cu $2.50/lb, Zn $1.25/lb, Pb $1.00/lb, Ag $17.50/oz, Au $1,275/oz

 

Selected Base Case Option – 1,000 tpd

The 1,000 tpd option is clearly the most favourable financial outcome. The additional capital cost required is only $5 million higher than the lowest cost option and at these levels that is not considered critical.

The inclusion of the DMS plant results in the rejection of approximately 37% of mined material ahead of the concentrator. Included within this is approximately 4.5% of the metal in feed that will be permanently lost to tailings.  As a result of the application of the DMS the net concentrator feed to the floatation circuits will be approximately 700 tpd.

The NPV and IRR generated are significantly better at 1,000 tpd than the lower throughput options. Therefore the 1,000 tpd option has been chosen as the base case for further consideration.

No detailed study was carried out on a 1,000 tpd throughput without the DMS. However, a short study indicated that it is likely that DMS will be far more favourable when the plant capacity is expanded to around 1500 tpd, which should occur when the inferred resources are upgraded to the indicated category.  The incorporation of DMS is therefore considered advisable and prudent.

Metal Production

Metallurgical performance and recovery is based on the large volume of information available from test work on Parys Mountain ores over the years.

Total base metal recovery in the concentrator to each of the three copper, zinc and lead concentrates is forecast to be 89.8% and taking into account the DMS losses overall recovery will be approximately 85.7%. Significant amounts of silver and gold will report to each of the concentrates.  Some free gold will be recovered by gravity methods ahead of the concentrates and will be sold as Welsh gold.

It is expected that each of the three base metal concentrates will be sold to smelters in Europe. Smelter payment terms and penalties have been based on treatment charges currently prevailing from these smelters.  It is possible that better terms could be obtained from Chinese smelters from time to time but the cost of shipping to the Far East compared to the proximity of shipping to continental Europe is likely to make such options less viable.

On average 14,000 tonnes of zinc concentrate at 57% Zn, 7,200 tonnes of lead concentrate at 52% Pb and 4,000 tonnes of copper concentrate at 25% Cu, will be produced annually. These figures will vary somewhat during the life of the mine as mine feed varies depending upon the particular ore bodies being mined at any time. This will result in average annual metal production into concentrates of 17.6 million pounds of zinc, 8.3 million pounds of lead and 2.2 million pounds of copper.

Taking into account shipping costs, smelter terms and penalties, the overall net smelter return (NSR) for the three concentrates, including the precious metals contribution, is expected to total in excess of $270 million at the metal prices used for the base case calculations. This would represent a net smelter return of approximately 72% of the metal value in concentrates sold to the smelters.

Further work

Both Micon and Fairport have recommended that further work be carried out, including more detailed mine and stope design, underground geotechnical studies, additional infill drilling in some locations, more detailed engineering studies, additional metallurgical test work, including work to improve recovery of specific metals to their own concentrate, and review of tailings management and paste processes. Several opportunities for cost reduction or productivity improvement have been identified for further study.

It is planned to carry out these and other activities as suitable funds are available. This will then lead to the generation of more detailed production and costing feasibility reviews to support project financing.

John Kearney, Chairman stated, “I have been involved with this Company and the Parys Mountain project for many years, and I am encouraged that that many of the variables and moving parts, including metal prices, treatment charges and used plant availability, have now moved in our favour and present a real and realisable opportunity for Parys Mountain. There is of course still much to be do but we now have a clear path forward.  We will need to expand the management team to make this happen and I look forward to being involved with the future financings and the path to development, construction and eventual mine production.”

Based on the positive results of the Scoping Study, the company now plans to engage in discussions with potential financiers or partners for the development of the Parys Mountain project. It is expected that this financing will occur in a stepped progression.  A number of recommendations have been made by Micon and Fairport regarding further work to optimise and enhance the project as the next step ahead of mine development.  It is hoped that financing for this work can be arranged as speedily as possible and will be followed by subsequent financings to move towards mine construction.

About Anglesey Mining plc

Anglesey is carrying out feasibility and development work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category. Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%. Anglesey also holds 11.8% of Labrador Iron Mines Holdings Limited which holds direct shipping iron ore deposits in Labrador and Quebec.

For further information, please contact:

Bill Hooley, Chief Executive +44 (0)7785 572517

Danesh Varma, Finance Director +44 (0)207 653 9881

Elliot Hance, Beaufort Securities +44 (0)207 382 8300

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Parys Mountain Scoping Study Progress Update

Anglesey Mining plc

3 July 2017        LSE:AYM

Parys Mountain Scoping Study Progress Update

Increase in annual production rate expected

 

In May Anglesey Mining plc (“Anglesey” or the “Company”) reported that work on the Scoping Study on the Parys Mountain copper-lead-zinc project in North Wales was being modified to examine increased throughput alternatives at 700 and 1,000 tonnes per day compared to the 500 tonnes per day used initially.  This stage of the study continues to be carried out by Micon International Limited and Fairport Engineering, in collaboration with company personnel and is based on the resource estimate made by Micon in 2012.       

The Micon 2012 JORC Code compliant resource estimate reported a resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category.

The Company previously indicated that it expected that the inputs from the new phase would be incorporated into updated financial models, with a view to having optimized development scenarios available for consideration before the end of June 2017.  The Company is pleased to report that both consultants have made very significant progress and based on preliminary reviews improved inputs to the financial model, including reduced operating costs and increased annual production, are indicated. 

It was previously expected that an increased annual production rate would usually result in a significant increase in capital costs.  Whilst it is expected that there will be some increase in capital costs these are likely to be less than previously expected and together with the production and operating cost adjustments should justify the increased production approach.  

Both consultants are now working to complete their respective exercises imminently and the Company expects to review the results and issue a detailed summary as soon thereafter as is practicable.  The Company is firmly of the opinion that it is preferable to allow the consultants adequate time to properly complete their work to the highest standards than to insist on a hasty completion that may be subject to error.  The Company’s current plan is that the results of the Scoping Study will be announced ahead of the publication of the Annual Report and Accounts during this month of July.

The Company has noted that there has been some significant trading volume and volatility in the price of the Companies shares during the last few weeks.  The Company is unaware of any corporate related reason for these movements but notes the recent positive momentum in the prices of both zinc and copper, with zinc inventories on the LME declining to eight year lows and copper inventories also declining.

About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category.

Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%. Anglesey also holds 11.8% of Labrador Iron Mines Holdings Limited which has direct shipping iron ore deposits in Labrador and Quebec.
 
For further information, please contact:
 
Bill Hooley, Chief Executive +44 (0)7785 572517
Danesh Varma, Finance Director +44 (0)207 653 9881
Elliot Hance, Beaufort Securities +44 (0)207 382 8300

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Parys Mountain Scoping Study Update

Anglesey Mining plc

12 May 2017        LSE:AYM

 Parys Mountain Scoping Study Update

 Anglesey Mining plc (“Anglesey” or the “Company”) reports that work on Scoping Study on the Parys Mountain copper-lead-zinc project in North Wales is continuing.  The study is being undertaken by Micon International Limited and Fairport Engineering, in collaboration with company personnel, based on the resource estimate calculated by Micon in 2012.

 The 2012 JORC Code compliant resource estimate reported a resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category.

 The initial approach adopted for the Scoping Study was a plan to mine these resources at 500 tonnes per day, or 165,000 tonnes per annum, commencing with development of the mineral deposits closest to surface.  The Company had chosen this throughput rate as it was believed that the low capital cost associated with this approach would provide the most beneficial outcome.  Given the level of indicated resources defined by Micon in 2012, this would result in a mine life of around 16 years, with mining of the indicated resources only and none of the inferred resources.

 The Company has reviewed the initial outcome of the study, based on a daily processing plant input of 500 tonnes per day of ore, and concluded that an accelerated development of the indicated resources over a shorter initial mine life should be economically more attractive.

 Fairport has considered some processing alternatives, specifically the introduction of dense media separation, that would increase the effective daily production rate by about 40% with only a limited increase in capital.  This would result in a shortened mine life based on the existing indicated resources and should generate an enhanced financial outcome.

 In addition, on reviewing the current indicative levels of the capital cost of mill equipment, including readily available used processing plant, it was felt that construction of a larger processing plant with a higher throughput rate could be justified. The feasibility study completed in 1991 was based on a throughput rate of 1,000 tonnes per day, or 350,000 tonnes per year.

 Obviously, a higher initial daily throughput rate would require additional mine development, a higher capital cost and result in a shortened mine life based only on the existing 2.1 million tonnes of indicated resources, but it should generate an enhanced financial outcome. 

 However, recognising the significant inferred resources of 4.1 million tonnes, being almost twice the current indicated resources, it would be expected that during the operation of the mine definition and exploration drilling would be carried out from underground locations that should be expected to bring much of the current inferred resources into the indicated category, and that would then extend the mine life significantly. 

 Based on an initial review of the preliminary results of the draft Scoping Study, Anglesey has asked both Micon and Fairport to consider alternative production and throughput scenarios, at various levels between 500 and 1,000 tonnes per day, and expects to receive modified mine production schedules and alternative capital cost estimates in the near future.  The inputs will then be incorporated into updated financial models, with a view to having optimized development scenarios available for consideration before the end of June 2017.

 About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category.

Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%. Anglesey also holds 11.2% of Labrador Iron Mines Holdings Limited which has direct shipping iron ore deposits in Labrador and Quebec

For further information, please contact:
 
Bill Hooley, Chief Executive +44 (0)7785 57251

Danesh Varma, Finance Director +44 (0)207 653 9881

Elliot Hance, Beaufort Securities +44 (0)207 382 8300

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Placing of New Shares for £0.225 million

20th March 2017                                                                    LSE: AYM

Placing of New Shares for £0.225 million

Anglesey Mining plc is pleased to announce that it has today agreed to issue 5,000,000 new ordinary shares, representing approximately 2.8% of the Company’s enlarged issued share capital, at 4.5 pence per share in a placement, to raise a total of £225,000 gross and £213,750 net.

The net proceeds of issue will be used for general working capital and for the continued development of the Parys Mountain poly-metallic project in North Wales on which an updated scoping study is being prepared by Micon International Limited and by Fairport Engineering Limited.  This study is reviewing capital and operating costs including the use of available second-hand plant to minimise capital expenditure wherever possible.  Recent increases in base metal prices over the last few months together with the lower level of sterling compared to the United States dollar are also expected to be positive for the project economics. The study is nearing completion and is expected that the report will be available shortly.  When the report is completed Anglesey will commence discussions with interested funding partners with a view to moving the project on to the next stage of development aimed at bringing the mine in to production. 

Bill Hooley, CEO, stated “We are very pleased to announce this financing which shows the continued support for Anglesey Mining and for its projects from sophisticated institutional investors in the resource industry.  We believe that such support is both positive for the development of the project and as an indicator that investor interest in the base metals sector has returned and that the outlook for the metals that will be produced from Parys Mountain is positive”.

The directors have authorised the issue of the new shares under the dispensation approved at the last AGM on 28th September 2016.  The new ordinary shares of 1 pence each to be issued in respect of this transaction will rank pari passu with the existing ordinary shares of the company. The transaction is conditional on the admission of the new ordinary shares to the Official List and to trading on the London Stock Exchange’s main market.

Application will be made for these shares to be admitted to both the Official List and to trading on the London Stock Exchange’s main market for listed securities and it is expected that such admission will become effective and dealings will commence on or 30 March 2017.

Following the allotment of these new ordinary shares becoming unconditional, the issued ordinary share capital of the company will be 177,608,051 ordinary shares of 1 pence each with voting rights; there are no shares held in treasury.  This figure may be used by shareholders as the denominator for the calculations which will determine whether they are required to notify their interest in the company, or any change to that interest, under the Financial Conduct Authority’s Disclosure and Transparency Rules.

About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category

Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%.

Anglesey also holds 11.2% of Labrador Iron Mines Holdings Limited which has direct shipping iron ore deposits in Labrador and Quebec and which has recently completed its Plan of Arrangement.  The Plan implements a restructuring of LIMH’s business to preserve its mining assets, continue its mine site activities in a care and maintenance standby mode and position it to refinance an orderly resumption of its iron ore mining activities when economic conditions warrant.

For further information, please contact:

Bill Hooley, Chief Executive +44 (0)1492 541 981

Danesh Varma, Finance Director +44 (0)207 653 9881

Eliliot Hance, Beaufort Securities +44 (0)207 382 8300

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LIMH completes Plan of Arrangement, Placing of New Anglesey Shares for £0.3 million completed

16th December 2016                                                                                          LSE: AYM

LIMH completes Plan of Arrangement

Placing of New Anglesey Shares for £0.3 million completed 

Anglesey Mining plc (“Anglesey” or the “Company”) is pleased to announce that Labrador Iron Mines Holdings Limited (“LIMH”) has reported that its Plan of Compromise and Arrangement (the “Plan”) under the Canadian Companies’ Creditors Arrangement Act has been approved by creditors and sanctioned by the Ontario Superior Court of Justice in Toronto.

The Sanction Order of the Court marks the final legal milestone in LIMH’s financial restructuring process, with implementation of the Plan scheduled for Monday, December 19th, 2016.

Upon implementation of the arrangement creditors of LIMH will be issued, as a group, approximately 22% of the shares of LIMH which means that Anglesey will then hold approximately 11.9% of LIMH and will be its second largest shareholder. Creditors will also be issued 49% of LIMH’s operating subsidiary Labrador Iron Mines Limited. 

The Plan implements a restructuring of LIMH’s business to preserve its mining assets, continue its mine site activities in a care and maintenance standby mode and position LIMH to refinance an orderly resumption of its iron ore mining activities when economic conditions warrant.

Bill Hooley, Chief Executive, stated “We are very pleased to see LIMH passing this major milestone which will leave it debt free and with all its major assets intact.  As a significant shareholder in LIMH we look forward to the future development of its iron ore assets in Labrador when the economic climate is right, and to other opportunities that LIMH is now in a position to pursue.”

Placing of New Anglesey Shares completed

 Anglesey also reports that the previously announced issue 12,000,000 new ordinary shares in the Company has been completed raising a total of £310,200.  The issued ordinary share capital of the company is now 172,608,051 ordinary shares of 1 pence each with voting rights; there are no shares held in treasury.  This figure may be used by shareholders as the denominator for the calculations which will determine whether they are required to notify their interest in the company, or any change to that interest, under the Financial Conduct Authority’s Disclosure and Transparency Rules.

The proceeds of the placement will be used for project development of Anglesey’s 100% owned Parys Mountain zinc-copper-lead deposit and for general working capital.  An updated scoping study is currently being prepared by Micon International Limited and Fairport Engineering Limited, both of which are acknowledged experts and leaders in the resources sector.

About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category

Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%.

Anglesey also holds 11.9% of Labrador Iron Mines Holdings Limited which has direct shipping iron ore deposits in Labrador and Quebec, currently held in stand-by care and maintenance pending an improvement in the iron ore price.

For further information, please contact:
Bill Hooley, Chief Executive +44 (0)1492 541981;
Danesh Varma, Finance Director +44 (0)207 653 9881;
Elliot Hance, Beaufort Securities+44 (0)207 382 8300

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Placing of New Shares for £0.3 million

30th November 2016                                                                    LSE: AYM

Placing of New Shares for £0.3 million

Anglesey Mining plc is pleased to announce that it has today agreed to issue 12,000,000 new ordinary shares, representing approximately 6.95% of the Company’s enlarged issued share capital, at 2.585 pence per share in a placement to institutions, to raise a total of £310,200.

The proceeds of issue will be used for project development of its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK and for general working capital. 

The Parys Mountain property is a significant zinc, copper and lead deposit with small amounts of silver and gold, with a reported a resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category. An updated scoping study is currently being prepared by Micon International Limited and Fairport Engineering Limited, both of which are acknowledged experts and leaders in the resources sector.

The directors have authorised the issue of the new shares under the dispensation approved at the last AGM on 28th September 2016.  The new ordinary shares of 1 pence each to be issued in respect of this transaction will rank pari passu with the existing ordinary shares of the company. The transaction is conditional on the admission of the new ordinary shares to the Official List and to trading on the London Stock Exchange’s main market.

Application will be made for these shares to be admitted to both the Official List and to trading on the London Stock Exchange’s main market for listed securities and it is expected that such admission will become effective and dealings will commence on or 14th December 2016.

Following the allotment of these new ordinary shares becoming unconditional, the issued ordinary share capital of the company will be 172,608,051 ordinary shares of 1 pence each with voting rights; there are no shares held in treasury.  This figure may be used by shareholders as the denominator for the calculations which will determine whether they are required to notify their interest in the company, or any change to that interest, under the Financial Conduct Authority’s Disclosure and Transparency Rules.

Bill Hooley, CEO, stated “We are very pleased to announce this financing, which represents significant support for Anglesey Mining, and we look forward to completion of the updated scoping study and to expedite development of the Parys Mountain project.”

About Anglesey Mining plc

Anglesey is carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK with a reported resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category

Anglesey holds a 6% interest and management rights to the Grangesberg Iron project in Sweden, together with a right of first refusal to increase its interest by a further 51%.

Anglesey also holds 15.3% of Labrador Iron Mines Holdings Limited which has direct shipping iron ore deposits in Labrador and Quebec and is currently undergoing a financial restructuring.

For further information, please contact:
Bill Hooley, Chief Executive +44 (0)1492 541981
Danesh Varma, Finance Director +44 (0)207 653 9881
Elliot Hance, Beaufort Securities+44 (0)207 382 8300

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Half yearly report for the six months to 30 September 2016

Anglesey Mining plc

Half yearly report for the six months to 30 September 2016

Chairman’s Statement and Management Report

In 2016, year to date, to a large extent we have seen an improvement in all the metals which are key to Anglesey Mining and the immediate outlook for all these metals is very positive.

Base metal prices move ahead

Zinc has continued to be one of the strongest performing metals in 2016, rising from the US$0.70 per pound level at the end of 2015 to US$1.15 per pound in recent days, an improvement in the year to date of more than 50%. For the past five years the zinc market has been in deficit and the fundamentals for zinc have been steadily improving. The closing in 2015 of Australia’s Century mine and the Lisheen mine in Ireland, combined with earlier closures of the Glencore’s Brunswick and Perseverance mines in Canada has removed more than one million tonnes of mine supply which represents almost 9.9% of world mine production.

Lead has also performed well in 2016 rising from US$0.75 per pound at the end of 2015 to US$0.95 per pound during the third quarter, while uncertainty about the global economy and investor anxiety continue to support the prices of gold and silver.

More recently, following the election of Donald Trump in the United States, there has been a dramatic increase in the prices of most metals, particularly copper and iron ore. Copper is now selling at over $2.60 per pound, a level not seen for several years. The likelihood of a major infrastructure programme in the United Sates  would be very significant for both copper and iron ore and particularly for zinc, the demand for which is closely linked to steel production and hence to iron ore demand.

Iron ore showing some strength

Iron ore is now selling at US$74 per tonne on a 62% iron basis FIS China. This is a level not seen for almost two years, while at the same time the price of metallurgical coal, the other major ingredient in steel making, has more than doubled in the past six months.  It is clear that Chinese consumption of iron ore continues to increase. On a positive note particularly relevant to the company the premiums for high grade fines and pellets, as would be produced by Grangesberg in Sweden, are also increasing.

In the longer term, per capita steel consumption in China must catch up with levels in the West and that would see at least a doubling in iron ore and zinc demand.

Operations

At Anglesey Mining we have continued to keep our corporate and operating costs at the lowest level possible and indeed have reduced general expenses by a further 38% compared to the same period last year, which as noted at that time were 50% of the prior year.  The direct expenditure at all our projects has again remained low throughout the period.

New studies on Parys Mountain

As announced in the Annual Report the company is updating the earlier scoping and economic studies on its Parys Mountain zinc/lead/copper/silver/gold property in Wales. This updated scoping study is being prepared by Micon International Limited and by Fairport Engineering Limited, both of which are acknowledged experts and leaders in the resources sector.

The Parys Mountain property is a significant zinc, copper and lead deposit with small amounts of silver and gold, with a reported a resource of 2.1 million tonnes at 6.9% combined base metals in the indicated category and 4.1 million tonnes at 5.0% combined base metals in the inferred category. The site has a head frame, a 300m deep production shaft and planning permission for operations and there is also important exploration potential.

It is expected that the results of this updated study will form a solid base from which to move the project towards production and will be used to assist with future planning and potential financing of the development of the Parys Mountain project. We expect that capital costs of developing Parys Mountain will be lower in today’s less competitive environment and, coupled with positive changes in exchange rates, could make the project attractive at expected metal prices. The Parys Mountain project will of course benefit from the expected increase in zinc price which is the predominant metal to be produced during in the early years of the mine life.

Labrador restructuring

In Canada, Labrador Iron Mines has made significant progress. A Plan of Arrangement has been filed with Ontario Court and a meeting of creditors will be held in early December. This filing marks a major milestone in the court-supervised process to complete a restructuring of LIM’s business. The plan is intended to restructure LIM’s business to preserve its mining assets and to position LIM to refinance an orderly resumption of its iron ore mining activities when economic conditions warrant. If the plan is implemented as expected then Anglesey’s holding in LIM will be diluted by an approximately 25%.

Grangesberg well positioned

In Sweden, a number of technical reviews have been continued to position the Grangesberg iron ore project should the iron ore market continue to strengthen.  Anglesey holds a direct 6% interest in Grangesberg and a right of first refusal over a further 51%. It has a shareholder and cooperation agreements for operatorship of GIAB. The mining leases can be maintained for a number of years with only minimum work levels. The high grade of concentrate to be produced from Grangesberg, together with the extensive existing infrastructure on site and nationally, and the potential for sales within Sweden’s domestic markets, negating the requirements for major port facilities and expensive handling and shipping costs, will be key drivers in this expectation. In the meantime, Grangesberg is also actively looking at alternative resource projects in Sweden that could benefit from the local knowledge and corporate support available, whilst awaiting a sustainable upturn in the iron ore and financing markets.

Financial results

The group had no revenue for the period. The loss for the six months to 30 September 2016 was £124,576, a reduction of £11,373 in the loss from the comparative period last year due to a reduction in administrative expenses. The cash and net current liabilities positions also improved compared with the last period as a result of cash advances of £125,000 from Juno under the working capital agreement. Additional financing will be required for working capital to maintain the group and carry out planned progress at Parys Mountain.

Outlook

Anglesey is exposed to zinc, lead, copper and precious metals at Parys Mountain and to iron ore at LIM and Grangesberg. With recent political developments in the UK and the United States, coupled with the likelihood of renewed stimulus investment in China, we feel that there is sound reason to believe that the future outlook for the commodity prices which are important to Anglesey Mining is very positive.

We thank shareholders for their continued patience and support.

John F Kearney

Chairman

17 November 2016

Unaudited condensed consolidated income statement

Notes Unaudited six months ended 30 September 2016 Unaudited six months ended 30 September 2015
All operations are continuing £ £
Revenue
Expenses (42,418) (68,337)
Investment income 103 160
Finance costs (82,392) (66,959)
Foreign exchange gain/(loss) 131 (813)
Loss before tax (124,576) (135,949)
Taxation 8
Loss for the period 7 (124,576) (135,949)
Loss per share
Basic – pence per share (0.1)p (0.1)p
Diluted – pence per share (0.1)p (0.1)p

Unaudited condensed consolidated statement of comprehensive income

Loss for the period (124,576) (135,949)
Other comprehensive income
Items that may subsequently be reclassified to profit or loss:
Exchange difference on
translation of foreign holding
(18,135) 33
Total comprehensive loss
for the period
(142,711) (135,916)

All attributable to equity holders of the company

Unaudited condensed consolidated statement of financial position

Notes Unaudited 30 September 2016 Audited 31 March 2016
£ £
Assets
Non-current assets
Mineral property exploration and evaluation 9 14,945,175 14,926,626
Property, plant and equipment 204,687 204,687
Investments 10 86,660 86,660
Deposit 123,078 123,078
15,359,600 15,341,051
Current assets
Other receivables 30,411 32,759
Cash and cash equivalents 40,608 11,504
71,019 44,263
Total assets 15,430,619 15,385,314
Liabilities
Current liabilities
Trade and other payables (98,500) (136,259)
(98,500) (136,259)
Net current liabilities (27,481) (91,996)
Non-current liabilities
Loans (3,323,437) (3,097,662)
Long term provision (50,000) (50,000)
(3,373,437) (3,147,662)
Total liabilities (3,471,937) (3,283,921)
Net assets 11,958,682 12,101,393
Equity
Share capital 11 7,116,914 7,116,914
Share premium 9,848,949 9,848,949
Currency translation reserve (56,592) (38,457)
Retained losses (4,950,589) (4,826,013)
Total shareholders’ equity 11,958,682 12,101,393

All attributable to equity holders of the company

Unaudited condensed consolidated statement of cash flows

Notes Unaudited six months ended 30 September 2016 Unaudited six months ended 30 September 2015
£ £
Operating activities
Loss for the period (124,576) (135,949)
Adjustments for:
Investment income (103) (160)
Finance costs 82,392 66,959
Foreign exchange movement (131) 813
(42,418) (68,337)
Movements in working capital
Decrease in receivables 2,348 1,002
(Decrease)/increase in payables (25,672) 8,329
Net cash used in operating activities (65,742) (59,006)
Investing activities
Investment income 103 60
Mineral property exploration and evaluation (30,388) (29,144)
Net cash used in investing activities (30,285) (29,084)
Financing activities
Loans 125,000
Net cash generated from financing activities 125,000
Net increase/(decrease) in cash
and cash equivalents
28,973 (88,090)
Cash and cash equivalents at start of period 11,504 96,873
Foreign exchange movement 131 (813)
Cash and cash equivalents at end of period 40,608 7,970

All attributable to equity holders of the company

Unaudited condensed consolidated statement of changes in group equity

Share
capital
£
Share
premium
£
Currency translation reserve
£
Retained losses
£
Total
£
Equity at 1 April 2016 – audited 7,116,914 9,848,949 (38,457) (4,826,013) 12,101,393
Total comprehensive
income for the period:
Exchange difference on
translation of foreign holding
(18,135) (18,135)
Loss for the period (124,576) (124,576)
Total comprehensive
income for the period:
(18,135) (124,576) (142,711)
Equity at
30 September 2016 – unaudited
7,116,914 9,848,949 (56,592) (4,950,589) 11,958,682
Comparative period
Equity at 1 April 2015 – audited 7,116,914 9,848,949 (31,163) (4,569,563) 12,365,137
Total comprehensive
income for the period:
Exchange difference on
translation of foreign holding
33 33
Loss for the period (135,949) (135,949)
Total comprehensive
income for the period:
33 (135,949) (135,916)
Equity at
30 September 2015 – unaudited
7,116,914 9,848,949 (31,130) (4,705,512) 12,229,221

All attributable to equity holders of the company

Notes to the accounts

1.  Basis of preparation

This half-yearly financial report comprises the unaudited condensed consolidated financial statements of the group for the six months ended 30 September 2016. It has been prepared in accordance with the Disclosure and Transparency Rules of the UK Financial Services Authority, the requirements of IAS 34 – Interim financial reporting (as adopted by the European Union) and using the going concern basis and the directors are not aware of any events or circumstances which would make this inappropriate. It was approved by the board of directors on 17 November 2016. It does not constitute financial statements within the meaning of section 434 of the Companies Act 2006 and does not include all of the information and disclosures required for annual financial statements. It should be read in conjunction with the annual report and financial statements for the year ended 31 March 2016 which is available on request from the company or may be viewed at www.angleseymining.co.uk.

The financial information contained in this report in respect of the year ended 31 March 2016 has been extracted from the report and financial statements for that year which have been filed with the Registrar of Companies. The report of the auditors on those accounts did not contain a statement under section 498(2) or (3) of the Companies Act 2006 and was not qualified. The half-yearly results for the current and comparative periods are unaudited.

2.  Significant accounting policies

The accounting policies applied in these unaudited condensed consolidated financial statements are consistent with those set out in the annual report and financial statements for the year ended 31 March 2016. The following amendments to interpretations were effective in the current period and have been adopted:

IAS 1 (amendment) ‘Presentation of Financial Statements’ – Disclosure initiative – 1 January 2016

IAS 16 (amendment) ‘Property, Plant and Equipment’ and IAS 38 (amendment) ‘Intangible Assets’ – Clarification of acceptable methods of depreciation and amortisation    – 1 January 2016

IAS 27 (amendment) ‘Separate Financial Statements’ – Equity method in separate financial statements – 1 January 2016

IFRS 11 (amendment) ‘Joint Arrangements’ – Accounting for acquisitions of interests in joint operations – 1 January 2016

Annual Improvements to IFRS (2012 – 2014) – 1 January 2016

The adoption of the amendments and new interpretations has not resulted in a change to the accounting policies nor had a material effect on the financial performance and position of the group. In preparing these financial statements any accounting assumptions and estimates made by management were consistent with those applied to the aforesaid annual report and financial statements.

3.  Risks and uncertainties

The principal risks and uncertainties set out in the group’s annual report and financial statements for the year ended 31 March 2016 remain the same for this half-yearly financial report and can be summarised as: development risks in respect of mineral properties, especially in respect of permitting and metal prices; liquidity risks during development; and foreign exchange risks. More information is to be found in the 2016 annual report – see note 1 above.

4.  Statement of directors’ responsibilities

The directors confirm to the best of their knowledge that: (a) the unaudited condensed consolidated financial statements have been prepared in accordance with the requirements of IAS 34 Interim financial reporting (as adopted by the European Union); and (b) the interim management report includes a fair review of the information required by the FSA’s Disclosure and Transparency Rules (4.2.7 R and 4.2.8 R). This report and financial statements were approved by the board on 17 November 2016 and authorised for issue on behalf of the board by Bill Hooley, chief executive officer and Danesh Varma, finance director.

5.  Activities

The group is engaged in mineral property development and currently has no turnover. There are no minority interests or exceptional items.

6.  Earnings per share

The loss per share is computed by dividing the loss attributable to ordinary shareholders of £0.1 million (loss to 30 September 2015 £0.1m), by 160,608,051 (2015 – unchanged) – the weighted average number of ordinary shares in issue during the period. Where there are losses the effect of outstanding share options is not dilutive.

7.  Business and geographical segments

There are no revenues. The cost of all activities charged in the income statement relates to exploration and development of mining properties. The group’s income statement and assets and liabilities are analysed as follows by geographical segments, which is the basis on which information is reported to the board.

Income statement analysis

Unaudited six months ended 30 September 2016
UK Sweden – investment Canada – investment Total
£ £ £ £
Expenses (42,409) (9) (42,418)
Investment income 103 103
Finance costs (82,392) (82,392)
Exchange rate movements 105 26 131
Loss for the period (124,593) 17 (124,576)
Unaudited six months ended 30 September 2015
UK Sweden – investment Canada – investment Total
£ £ £ £
Expenses (68,337) (68,337)
Investment income 160 160
Finance costs (66,959) (66,959)
Exchange rate movements (57) (756) (813)
Loss for the period (135,136) (57) (756) (135,949)

Assets and liabilities

` Unaudited 30 September 2016
UK Sweden investment Canada investment Total
£ £ £ £
Non current assets 15,272,940 86,659 1 15,359,600
Current assets 69,755 1,264 71,019
Liabilities (3,191,748) (280,189) (3,471,937)
Net assets/(liabilities) 12,150,947 (192,266) 1 11,958,682
Audited 31 March 2016
UK Sweden investment Canada investment Total
£ £ £ £
Non current assets 15,254,391 86,659 1 15,341,051
Current assets 43,069 1,194 44,263
Liabilities (3,038,460) (245,461) (3,283,921)
Net assets/(liabilities) 12,259,000 (157,608) 1 12,101,393

8.  Deferred tax

There is an unrecognised deferred tax asset of £1.3 million (31 March 2016 – £1.2m) which, in view of the group’s results, is not considered to be recoverable in the short term. There are also capital allowances, including mineral extraction allowances, exceeding £12.5 million (unchanged from 31 March 2016) unclaimed and available. No deferred tax asset is recognised in the condensed financial statements.

9.  Mineral property exploration and evaluation costs

Mineral property exploration and evaluation costs incurred by the group are carried in the unaudited condensed consolidated financial statements at cost, less an impairment provision if appropriate. The recovery of these costs is dependent upon the successful development and operation of the Parys Mountain project which is itself conditional on finance being available to fund such development. During the period expenditure of £18,549 was incurred (six months to 30 September 2015 – £24,127). There have been no indicators of impairment during the period.

10.  Investments

Labrador Grangesberg Total
£ £ £
At 1 April 2015 1 86,659.00 86,660
Addition during period
At 31 March 2016 1 86,659 86,660
Addition during period
At Unaudited 30 September 2016 1 86,659 86,660

Labrador: The group’s investment is classified as ‘unquoted’ and is held at a nominal value of £1.

Grangesberg: The group has a 6% holding in Grangesberg Iron AB (an unquoted Swedish company) and a right of first refusal over shares amounting to a further 51% of that company. This investment has been initially recognised and subsequently measured at cost, on the basis that the shares are not quoted and a reliable fair value is not able to be estimated.

11.  Share capital

Ordinary shares of 1p Deferred shares of 4p Total
Issued and
fully paid
Nominal
value £
Number Nominal
value £
Number Nominal
value £
At 31 March 2015,
2016 and 30 September 2016
1,606,081 160,608,051 5,510,833 137,770,835 7,116,914

12.  Financial instruments

Group Available for sale assets Loans & receivables
Unaudited 30 September 2016 31 March 2016 Unaudited 30 September 2016 31 March 2016
£ £ £ £
Financial assets
Investments 1 1
Deposit 123,078 123,078
Other debtors 30,411 32,759
Cash and cash
equivalents
40,608 11,504
1 1 194,097 167,341
Unaudited 30 September 2016 31 March 2016
£ £
Financial liabilities
Trade payables (44,206) (77,465)
Other payables (54,294) (58,794)
Loans (3,323,437) (3,097,662)
(3,421,937) (3,233,921)

13.  Events after the reporting period

None.

14.  Related party transactions

None.

Corporate information

Directors:

John Kearney                Chairman

Bill Hooley                      Chief executive

Danesh Varma               Finance director

David Lean                     Non executive

Howard Miller                Non executive

Parys Mountain site: Parys Mountain, Amlwch, Anglesey, LL68 9RE

Phone 01407 831275

London office: Painter’s Hall, 9 Little Trinity Lane, London, EC4V 2AD

Phone 020 7653 9881

Registered office: Tower Bridge House, St. Katharine’s Way, London, E1W 1DD

Share registrars: Capita Registrars  www.capitaregistrars.com

Phone:  0871 664 0300 – for all change of address and shareholder
administration matters (calls cost 10p per minute plus network extras,
lines open 0830 to 1730 Mon-Fri)

Web site: www.angleseymining.co.uk

E-mail: mail@angleseymining.co.uk

Shares listed on the London Stock Exchange – LSE:AYM

Company registration number 1849957

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Market Activity

 Anglesey Mining plc

16th November 2016                                                                                          LSE: AYM

Market Activity

Anglesey Mining plc (“Anglesey” or “the Company”) has noted the level of market activity in the Company’s stock during the last several days.  Anglesey is unaware of any reason for this level of activity.

For further information: 

Bill Hooley, Chief Executive                                                        01492 541981

Danesh Varma, Finance Director                                              020 7653 9881

Jon Bellis, Beaufort Securities Limited                                     020 7382 8300

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Report on Payments to Governments

UK companies in the extractive sectors are required to publicly disclose payments made to governments in the countries where they undertake exploration or extractive operations.

In accordance with the Reports on Payments to Governments Regulations 2014 (2014/3209) and DTR 4.3A of the Financial Conduct Authority’s Disclosure and Transparency Rules, the company reports that, for the year ended 31 March 2016, payments to governments were below the minimum disclosable level of £86,000.

For further information, please contact:

Bill Hooley, Chief Executive +44 (0)1492 541981;

Danesh Varma, Finance Director +44 (0)207 653 9881.

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AGM 2016 – Chairman’s remarks – Voting – Grant of share options

Chairman’s remarks at AGM

At the shareholder’s annual meeting held today, the Chairman, John Kearney, made a presentation outlining the company’s plans for the coming year and his expectation that the price of zinc will move significantly higher in the near future, due to reduced production worldwide from mine closures and forecasts of increases in demand, and that these higher zinc prices would continue for a number of years.

Mr Kearney noted that the company had previously announced that it was updating its earlier scoping and economic studies on its Parys Mountain zinc/lead/copper/silver/gold property in Wales. He reported that this updated scoping study is being prepared by Micon International Limited and by Fairport Engineering Limited, both of which are acknowledged experts and leaders in the resources sector, and it is expected that the updated study will be presented to the company later in the autumn.

Grant of share options

The company also announces that it has today granted a total of 3,500,000 options to subscribe for ordinary shares at a price of 2 pence per share under the unapproved share option scheme to the directors in the amounts set out below:

Bill Hooley                          Chief Executive                               1,000,000

Danesh Varma                   Finance Director                             1,000,000

John Kearney                     Chairman                                            500,000

Howard Miller                   Non executive Director                     500,000

David Lean                         Non executive Director                     500,000

These share options, which were granted by the remuneration committee and approved by the board, will vest after one year from date of grant, with a term of five years expiring on the 30 September 2021.  All options are subject to a performance criterion, namely that the company’s share price performance over the period from grant to exercise must exceed that of the companies in the top quartile of the FTSE 100 index.

The company points out that all the directors have waived entitlement to remuneration for more than the last 24 months.

Voting at the AGM

In respect of the voting at the company’s AGM held on 28 September 2016 the directors are pleased to report that all resolutions were passed unanimously on a show of hands.

The valid proxies recorded in respect of voting at the meeting were as follows:

  Resolution In Favour Against Withheld
1 To receive the report and accounts 58,705,088 750 0
2 To approve the directors’ remuneration policy report 58,680,949 24,486 400
3 To approve the directors’ remuneration report 58,685,685 19,250 900
4 To reappoint John F. Kearney as a director 58,689,460 16,375 0
5 To reappoint Bill Hooley as a director 58,690,085 15,750 0
6 To reappoint David Lean as a director 58,690,585 15,750 500
7 To reappoint Howard Miller as a director 58,690,085 15,750 0
8 Withdrawn      
9 To reappoint Danesh Varma as a director 58,705,085 750 0
10 To reappoint Mazars LLP as auditors 58,703,035 750 2,050
11 To authorise the directors to determine the remuneration of the auditor 58,705,085 750 0
12 To authorise the directors to issue new share capital 58,683,724 21,611 500
13 To dis-apply pre-emption rights in respect of certain issues of shares 58,682,299 17,800 5,736
         
         

Notes

1. Votes were received in respect of 58,705,835 shares representing 36.6% of the issued share capital.

2. Any proxy appointments which gave discretion to the chairman have been included in the “For” total.

3. The full text of the resolutions is shown in the notice of the AGM which is available in the annual report and on the website.

Total voting rights

The issued ordinary share capital of the company is 160,608,051 shares with voting rights; there are no shares in treasury.

The above figure may be used by shareholders as the denominator for the calculations which will determine whether they are required to notify their interest in the company, or any change to that interest, under the FSA’s Disclosure and Transparency Rules.

Following the grant of the share options set out above, the aggregate share options outstanding will represent 5.3% of the 160,608,051 ordinary shares in issue.

For further information, please contact:

Danesh Varma, Finance Director +44 (0)207 6539881;

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