Information  X 
Enter a valid email address

Titanium Resources (SRX)

  Print      Mail a friend

Wednesday 02 May, 2007

Titanium Resources

Issue of Equity

Titanium Resources Group Ltd
02 May 2007



     NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO 
                          U.S. NEWSWIRE SERVICES



            Titanium Resources Group Ltd Signs Agency Agreement for
         The Placing of New Common Shares to Raise up to £17.6 million


2 May 2007: Titanium Resources Group Ltd ('TRG' or 'the Company') announces the
signing of an Agency Agreement between TRG and BMO Nesbitt Burns, Inc. and
Arbuthnot Securities Limited to place up to 27,077,000 new common shares ('the
Placing Shares') with institutional investors at a price of 65 pence per Placing
Share raising approximately £17.6 million (US$35.2 million) before expenses 
('the Placing'). The Placing represents approximately 11.6 percent of the
enlarged issued share capital of the Company of 234,278,553 common shares.


The net proceeds of the Placing will be used for general corporate purposes and
growth initiatives including: approximately $25 million on upgrading the power
house at the Sierra Rutile mine to Heavy Fuel Oil; the expansion of Sierra
Rutile's dry plant capacity for the increased production from the ongoing Dredge
D2 and D3 expansion projects; exploration on the prospective areas within
existing tenures but outside current mine plans at Sierra Rutile and Sierra
Minerals; and exploration of the Turners' Peninsular deposit acquired in 2006.


Application has been made to the London Stock Exchange for the Placing Shares to
be admitted to trading on AIM ('Admission').  The Placing Shares will rank in
full for all dividends or other distributions made, paid or declared after
Admission and pari passu in all other respects with the existing common shares.
The Placing is conditional on, inter alia, Admission becoming effective, which
is expected to occur on 8 May 2007, when dealings in the Placing Shares are
expected to commence.


THE SECURITIES REFERRED TO IN THIS RELEASE WILL NOT BE REGISTERED UNDER THE
UNITED STATES SECURITIES ACT OF 1933 OR THE LAWS OF ANY STATE AND MAY NOT BE
OFFERED OR SOLD IN THE UNITED STATES ABSENT SUCH REGISTRATION OR AN APPLICABLE
EXEMPTION FROM REGISTRATION REQUIREMENTS.


For further information:

Len Comerford / Walter Kansteiner
Titanium Resources Group Ltd.
Telephone: +44 20 7321 0000

Michael Oke / Andy Mills
Aura Financial
Telephone: +44 20 7321 0000

Nominated Adviser
John Wilkes
Nabarro Wells & Co. Limited
Telephone: +44 20 7710 7400

Graham Swindells/Richard Dunn
Arbuthnot Securities
Telephone: +44 20 7012 2000

William Smith
BMO Capital Markets
Telephone:  +44 20 7664 8120




                      This information is provided by RNS
            The company news service from the London Stock Exchange