Placing

RNS Number : 0830R

Great Western Mining Corp. plc

14 November 2012

 



14 November 2012

Great Western Mining Corporation PLC

("Great Western Mining" or "GWM" or the "Company")

Placing to raise GBP550,000  

Great Western Mining, the AIM and ESM quoted mineral exploration company with 73 sq. kilometres of mineral claims in south-west Nevada, has completed a placing (the "Placing") of 18,333,334 new ordinary shares of EUR 0.01 each (the "Placing Shares") at a price of £0.03 per Ordinary Share, raising gross proceeds of £550,000 (approximately $875,000).

The proceeds of the Placing will be used to finance the Company's multi-hole drilling campaign on Target 4 and for general corporate and working capital purposes.

Emmett O'Connell, Executive Chairman, commented:

"We are very pleased with the result of the Placing which will enable the Company to commence its multi-hole drilling campaign on Target 4* in Mineral County, Nevada, subject to regulatory drill permits being issued by local authorities. These are expected to be processed in the near future, now that finance is in place."

*Target 4 prospect is believed to be a mainly copper bearing structure with some gold and silver values attached.

Directors' Subscription

Certain Directors have subscribed for the following Placing Shares on exactly the same terms as the other investors:

Director	Placing Shares subscribed for	Resulting holding of Ordinary Shares	% of Enlarged Share Capital
Emmett O'Connell	3,357,525	10,810,343	16.7%
Robert O'Connell	1,969,125	7,420,490	11.4%
Brian Hall	333,333	333,333	0.5%

Related party transaction

With the exception of Emmett O'Connell, Robert O'Connell and Brian Hall, whose participation in the Placing constitutes a related party transaction under AIM Rule 13 and ESM Rule 13, the Company's directors consider, having consulted with the Company's nominated adviser, Shore Capital, and ESM Adviser, Davy Corporate Finance, that the terms of the participation by the above named directors in the Placing are fair and reasonable insofar as the Company's shareholders are concerned.

Details of Placing and Total Voting Rights

Application will be made to the London Stock Exchange and the Irish Stock Exchange for the Placing Shares to be admitted to trading on AIM and ESM, with Admission expected to occur on 19 November 2012.  The Placing Shares will, when issued, rank pari passu in all respects with the existing Ordinary Shares including the right to receive dividends and other distributions declared following Admission and represent 28.3% of the Company's enlarged issued share capital following the Placing.

Following the issue of the Placing Shares, the Company's enlarged issued share capital will be 64,823,809 Ordinary Shares of EUR 0.01 each. The above figure may be used by the Company's shareholders as the denominator for the calculations by which they may determine if they are required to notify their interest in or a change in their interest in the Company.

Enquiries:

Great Western Mining Corporation Plc Emmett O'Connell, Chairman         Melvyn Quiller, Chief Executive	[phone] [phone]	[e-mail]
Shore Capital (Nomad & UK Broker) Bidhi Bhoma / Toby Gibbs (Corporate Finance) Jerry Keen (Corporate Broking)	[phone]	[e-mail] [e-mail]
Davy (ESM Adviser & Irish Broker) John Frain (Corporate Finance) Roland French (Corporate Finance)	[phone]	[e-mail] [e-mail]
Cubitt Consulting (Financial PR) Nicholas Nelson Cebuan Bliss	[phone]	[e-mail]
Gordon MRM (Irish PR) Brendan McGrath	[phone] [phone]	[e-mail]

 

END

 

 

IOEMMMMMRDZGZZG