Equity financing for Labrador Iron
Anglesey Mining???s 41% owned associate Labrador Iron
Mines Holdings Limited (TSX: LIM) (the "Company" or "LIM")
is pleased to announce that it has filed a preliminary short form prospectus in
connection with an overnight marketed public offering (the "Offering")
of the Company's common shares ("Common Shares") and flow-through
common shares (the "FT Shares", and together with the Common Shares
the "Underwritten Shares"). The Offering will be conducted through a
syndicate of underwriters led by Canaccord Genuity Corp. (the "Underwriters"). The Company
will also grant the Underwriters an over-allotment option to purchase up to
that number of additional common shares (the "Over-Allotment Common
Shares", and together with the Common Shares and FT Shares, the "Offered
Securities") equal to 15% of the Underwritten Shares sold pursuant to the
Offering, exercisable at any time up to 30 days after and including the closing
of the Offering at a price equal to the offering price of the Common Shares.
The Offering will be priced in the
context of the market with final terms of the Offering to be determined at the
time of pricing.
The Company intends to use the net
proceeds from the Offering for upgrades to and expansion of the Silver Yards
plant, payments under the recently announced rail transportation agreements,
for exploration and development of the Company's mineral projects, and for
general corporate and working capital purposes.
The Offering is being made pursuant to a
short form prospectus to be filed in each of the provinces of Canada other than
Quebec. The Offered Securities will not be registered under the U.S. Securities
Act of 1933, as amended, and may not be offered or sold in the United States
absent registration or an applicable exemption from the registration
requirements.
This press release does not constitute
an offer of securities for sale in the United States. The securities being
offered have not been, nor will be, registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold within the
United States absent U.S. registration or an applicable exemption from U.S.
registration requirements.
About Labrador Iron Mines Holdings
Limited (LIM)
LIM's Schefferville
Area project involves the development of twenty direct shipping iron ore
deposits in western Labrador and north-eastern Quebec near Schefferville,
Quebec. The properties are part of the historic Schefferville
area iron ore district where mining of adjacent deposits was previously carried
out by the Iron Ore Company of Canada from 1954 to 1982.
LIM contemplates mining in stages, the
first phase of Stage 1 comprising the James and Redmond deposits, which are
located in close proximity to existing infrastructure, and for which all
operating permits have been issued and plant construction and mine development
is nearing completion.
For further information, please view the
Company???s website at www.labradorironmines.ca.
About Anglesey Mining plc
Anglesey Mining with its LSE main board
listing is primarily focused on its 41% interest in Labrador Iron Mines (TSX:LIM). In addition to any new projects that may be brought
forward the company owns 100% of Parys Mountain in North Wales with an
historical resource in excess of 7 million tonnes at
over 9% combined copper, lead and zinc.
For further information, please contact:
Bill Hooley, Chief Executive +44 (0)
1492 541981
Ian Cuthbertson,
Finance Director +44 (0) 1248 361333
Emily
Fenton / Charlie Geller, Tavistock
Communications +44 (0) 20 7920 3155 / +44 (0) 7788 554035