18 November 2009
NYOTA MINERALS LIMITED (ASX: NYO.ASX; AIM: NYO.L)
PLACING TO RAISE GBP2.25 MILLION
Nyota Minerals Limited (?Nyota?) is pleased to announce a placing by Ocean Equities Limited (?Ocean Equities?) of 32,142,858 new ordinary shares in Nyota (?the Placing Shares?) at 7p per share with institutional investors raising GBP2.25 million (before expenses) (?the Placing?).
The Placing has been undertaken to allow Nyota to accelerate the drilling programme currently underway at its Tulu Kapi gold project (?the Project?) in Ethiopia through bringing an additional Reverse Circulation (?RC?) drill rig to site and extending the contract of the RC and Diamond Drill rigs already in operation. The drilling will focus on increasing the 690,000 ounce Inferred JORC resource towards 1 million ounces, updating part of that resource to the Measured and Indicated category, and drilling of the Northern Extension target at Tulu Kapi (see press release of 12 November 2009).
Commenting on the Placing, Melissa Sturgess, Chief Executive Officer, said: "We acquired the assets at a very low entry cost in August 2009, generated a significant Maiden Inferred Resource in September and we are very encouraged by the progress of the current drilling campaign. These additional funds will allow us to accelerate the drilling programme even further to support our aim of rapidly developing a mine at Tulu Kapi and demonstrating further regional upside potential at the Project.?
Details of the Placing
Nyota is raising approximately GBP2.25 million (before expenses) pursuant to the Placing. The Placing Shares will represent approximately 12.6 per cent. of the enlarged issued share capital of Nyota. The Placing Shares will, when issued, rank pari passu in all respects with the existing ordinary shares in Nyota.
Application has been made to the London Stock Exchange for the Placing Shares to be admitted to trading on AIM (?Admission?). It is expected that Admission will become effective and that dealings in the Placing Shares will commence at 8.00 a.m. on 23 December 2009. Completion of the Placing is conditional on, inter alia, Admission occurring not later than 31 December 2009.
The Placing has only been made (i) in the UK to persons falling within article 19 and article 49 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 and who are also qualified investors for the purposes of section 86 of FSMA and (ii) in other jurisdictions in strict compliance with securities laws applicable therein, and no other person may participate in the Placing or rely on any communication relating to it. The offer of the Placing Shares has not been made to the public for the purposes of the Prospectus Rules.
For a copy of the presentation used in relation to the Placing please visit Nyota?s website, www.nyotaminerals.com.
This announcement does not constitute an offer, or the solicitation of an offer, to subscribe for or buy any of the Placing Shares. Under the terms of the Placing Agreement, Ocean Equities will receive commissions from Nyota conditional on Admission and Nyota will give customary warranties, undertakings and indemnities to it in relation to the performance of its duties.
Nyota gives this notice pursuant to Section 708A(5) of the Australian Corporations Act 2001 (Cth) (?Corporations Act?). The shares were issued without disclosure to investors under Part 6D.2, in reliance on Section 708A(5) of the Corporations Act.
Nyota, as at the date of this notice, has complied with:
(a) the provisions of Chapter 2M of the Corporations Act; and
(b) Section 674 of the Corporations Act.
There is no excluded information for the purposes of Sections 708A(7) and (8) of the Corporations Act.
For further information please contact:
Melissa Sturgess
CEO
Nyota Minerals Limited
(+44) (0)78 2555 1397 or melissa.sturgess@nyotaminerals.com
Martyn Churchouse
Technical Director
Nyota Minerals Limited
(+44) (0) 7738 150 889 or martyn.churchouse@nyotaminerals.com
Richard Brown
Ambrian Partners Limited
(+44) (0) 20 7634 4709
Guy Wilkes
Ocean Equities Limited
(+44) (0)20 7786 4370
Press enquiries
Charlie Geller or Leesa Peters
Conduit PR
+44 (0)20 7429 6604/ +44 (0)752 823 3383
If you would like
Nyota Minerals Limited
Suite 2, 5 Ord Street
West Perth WA 6005
T: +618 9324 2955
F: +618 9324 2977
tamara.bolik@nyotaminerals.com
www.nyotaminerals.com