Rambler Metals & Mining Plc: Proposed Placing to Raise GBP 10 Million in Support of Bringing the Ming Copper-Gold Mine Into Production
Rambler Metals and Mining PLC (TSX-V:RAB)(AIM:RMM) said it intends to raise approximately £10 million, before expenses, through a placing of 27.7 million ordinary shares at 36 pence each (approximately CDN$0.57 per share).
Net proceeds from the private placement will be used to complete the construction phase of the Ming Copper-Gold Mine, located on the Baie Verte Peninsula of Newfoundland and Labrador, Canada, and to commence production in the second half of 2011 prior to reaching full production in the latter half of 2011.
The placing is subject to the approval of shareholders, who are scheduled to meet on May 3.
A scoping study and NI 43-101 report filed in 2008 states the Ming Mine can sustain a 4,000 mtpd production rate with a life of mine in excess of 10 years.
The mine's last year of operation was 1982. Rambler says the mine produced 2.1 million tons of ore grading 3.5% Cu and 2.5 g/t Au over 10 years. The Ming West Mine operated between 1995 and 1996, producing 271,000 tons grading 4.0% Cu and 5.8 g/t Au. Mining ceased when workings reached a neighbouring property boundary.