Microsoft Word - 20141106 ASX Announcement NRRI final
ASX ANNOUNCEMENT 7 November 2014
MARMOTA TO RAISE UP TO $0.66M VIA NON-RENOUNCEABLE RIGHTS ISSUE
HIGHLIGHTS:
• 1:4 Non-renounceable Rights Issue to raise up to $0.66M at 1 cent per share
• Funds raised to progress exploration activity at the Durkin Nickel, Melton and Junction Dam Projects
Marmota Energy Ltd ("Marmota", ASX:MEU), is pleased to announce a capital raising by way of a non- renounceable rights issue ("Entitlement Issue" or "Offer") at an issue price of $0.01 (1.0 cent) per share on the basis of one (1) new share for every four (4) ordinary shares held. Under the offer, a maximum of 65,939,809 ordinary shares will be issued to raise up to $0.66M (before expenses). The issue price represents a 16.7% discount to the last trading price.
In addition, participating shareholders will be issued free, one (1) new option for every two (2) new shares subscribed for with an exercise price of $0.02 per option and an expiry date of 9 December 2015 ("New Options"). The Company will apply for official quotation of the New Options.
Use of Proceeds
The net proceeds from the Offer will be used for general working capital purposes and to fund exploration activity, including:
• Durkin Nickel Project (100% Marmota) (Area
2): Conducting a geophysics review, redrilling prior holes and conducting downhole EM targeting nickel prospectivity;
• Melton Project (West Melton 100% Marmota, Melton and North Melton 75% Marmota) (Area 7):Conducting airborne EM, a geophysics review and a targeted drilling program focused on the Champion and Central prospects; and
• Junction Dam Project (uranium rights 100% Marmota) (Area 6): Drilling water wells and a production well to obtain groundwater data and ascertain permeability.
15 Adam Street, HINDMARSH SA 5007
Website. www.marmotaenergy.com.au Email: [email protected]
Tel: 08 8245 4000 Fax: 08 8245 4099
ACN: 119 270 816 ASX code: MEU
Entitlements Issue Details
Shareholders with an address in Australia or New Zealand on the Company's register at the close of business on
13 November 2014 will be eligible to participate in the Entitlement Issue ("Eligible Shareholders").
The Company has decided that it is unreasonable to make the offer to shareholders who have a registered address in a country outside of Australia or New Zealand, having regard to the number of shareholders in such places, the number and value of the new shares and new options they would be offered and the substantial costs of complying with the legal and regulatory requirements in those jurisdictions.
The Directors reserve the right to place the remaining shortfall at their discretion after the close of the Offer. Eligible Shareholders' entitlements pursuant to this Entitlement Issue are non-renounceable and accordingly, they may:
• take up their rights in full or part;
• do nothing; in which case their rights will lapse; or
• take up their rights and apply for additional new shares.
Full details of the Entitlement Issue will be set out in the Prospectus which will be lodged by the Company with
ASIC and ASX today.
Existing optionholders will need to exercise their options and be a registered holder of shares on the Record
Date if they wish to participate in the Entitlement Issue.
The proposed timetable for the Entitlement Issue is as follows:
EVENT
|
DATE
|
"Ex" date
|
11 November 2014
|
Record Date to identify Shareholders entitled to participate in the Offer
|
13 November 2014
|
Prospectus and Entitlement and Acceptance Forms dispatched to Shareholders
|
18 November 2014
|
Opening date
|
18 November 2014
|
Closing date for acceptances
|
3 December 2014 at 5pm
Adelaide time
|
Shares quoted on a deferred settlement basis
|
4 December 2014
|
Notification to ASX of under subscriptions
|
8 December 2014
|
Issue date for New Securities issued under the Offer
Deferred settlement trading ends
|
10 December 2014
|
Trading of New Securities on ASX commences
|
11 December 2014
|
This timetable is indicative only. Subject to the ASX Listing Rules, the Directors reserve the right to withdraw the Offer at any time, close the Entitlement Issue early or extend the Closing Date for the Offer at their discretion. Should the Offer be closed early or extended, there will be a consequential effect on the anticipated date of issue for the new shares and options.
For further information contact:
Virginia Suttell Company Secretary Marmota Energy Limited
15 Adam Street
Hindmarsh SA 5007
Telephone: +61 8 8245 4000
Facsimile: +61 8 8245 4099
Email: [email protected]
Rohin Muller Adelaide Equity Partners Limited Level 3
100 Pirie St
Adelaide SA 5000
Telephone: +61 8 8232 8800
Facsimile: +61 8 8232 8811
Email: [email protected]