Kuits advises mining outfit Ironveld plc on share capital raising05 Dec 2014
Manchester commercial law firm Kuits has advised Ironveld plc, an AIM-traded mining company, on a share capital raising that will enable the company to finalise plans for the development of a 15MW DC smelter for the production of a high-purity iron, and vanadium and titanium slag products.
Ironveld is a high-purity iron, vanadium and titanium project located on the Northern Limb of the Bushveld Complex in Limpopo Province, South Africa. The company completed a £750,000 capital raising before expenses through a placing by Shore Capital Stockbrokers Limited of new ordinary shares at 7.0p each.
The company expects to mine its own VTM ore as feedstock for a 15MW smelter, which will produce speciality iron products – including high purity iron powder – vanadium and titanium products.
Kirsti Pinnell, Partner in Kuits’ Corporate and Commercial team and Ironveld’s company secretary, commented: “The placing is strategically important for Ironveld, as the proceeds will be used towards finalising plans for the development of the smelter, including engineering and design work for project realising, and to provide additional working capital.”
Peter Cox, CEO of Ironveld, commented: “The placing puts Ironveld in a position to move forward with the development of our world-class resource. The company is entering an exciting stage as we work towards the delivery of this highly attractive project, which is expected to be cash flow positive from commencement of full production, producing HPI together with vanadium and titanium slag by-products. We would like to thank our new and existing shareholders for their support during this placement.”
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