13 May 2016
Connemara Mining Company plc ('Connemara')
Fundraising to Finance Donegal Gold Drilling
The board of Connemara Mining (AIM: CON) are pleased to announce that they have raised £400,200 (before expenses) by way of a Placing and Subscription of 20,010,000 new ordinary shares of €0.01 each in the Company ('Ordinary Shares') at a price of 2p per share ('the Placing and Subscription Shares'). For each Placing and Subscription Share subscribed for, the investors are also receiving one warrant to subscribe for an additional Ordinary Share at a price of 5p per share at any time until 26 May 2018. The Placing and Subscription Shares will represent approximately 26.4 percent of the Company's issued share capital as enlarged by the Placing and Subscription.
The funds will be used for a drilling programme on the Donegal gold licences and for general working capital purposes.
The Placing and Subscription Shares will rank pari passuwith the existing Ordinary Shares. Application will be made for the Placing and Subscription Shares to be admitted to trading on AIM ('Admission') with effect from 27 May 2016.
Following the Admission of the Placing and Subscription Shares, there will be a total of 75,789,711 Ordinary Shares in issue with each share carrying the right of one vote. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.
John Teeling, Chairman, commented 'We will use the funds raised to undertake the next stage gold drilling programme in Donegal. Details will be announced in due course but we would hope to commence drilling in the coming weeks.'