Following a busy H1, Fladgate’s capital markets and natural resources team has completed six transactions in five weeks for clients in the resources sector, including:
- The £4.75m placing and admission to AIM on 25 July of new client, TSX-V listed Bacanora Minerals Ltd. Bacanora is an explorer and developer of industrial minerals in Mexico with a primary focus on borates and lithium.
- The £27m acquisition, by AIM listed Mentum Inc, of the gold and copper exploration and development operations in the Kyrgyz Republic of ASX-listed Robust Resources Limited by way of a reverse takeover. The enlarged group, renamed Tengri Resources, was re-admitted to AIM on 15 July.
- A US$60m capital raising for an oil and gas exploration company to fund a development programme in Africa. Fladgate advised FirstEnergy Capital and GMP Securities as bookrunners and placing agents.
- A conditional US$20m placing and subscription by Sirius Petroleum plc (AIM) to fund the development of an initial offshore well at the Ororo field, Nigeria. Sirius Petroleum is focused on oil and gas development and production opportunities in Nigeria.
- A conditional agreement between Tri-Star Resources Plc (AIM) and Odey European Inc. for the issue of £2m secured convertible bonds. The funds raised will be utilised to further develop Tri-Star’s antimony roaster project in the Sultanate of Oman.
- A placing by AIM listed Independent Resources plc to fund its onshore Tunisian oil and gas licence, acting for Charles Stanley Securities as nominated adviser and broker.
The Fladgate teams were led by capital markets and natural resources partner Paul Airley for Bacanora Minerals and Mentum; capital markets partner Neil Vickers for Mentum’s nominated adviser, finnCap, First Energy Capital, GMP Securities and Charles Stanley Securities; and capital markets partner David Robinson for Sirius Petroleum and Tri-Star Resources.Head of corporate, Grant Gordon commented: “We are delighted to have been able to draw upon our extensive legal expertise and broad industry experience to advise on this raft of resources deals as confidence returns to the London markets, and particularly AIM”.