Asiamet seeks to raise $7.9m via private placement to help fund copper project

TSX-listed Asiamet Resources Limited unveiled Friday a placing of new common shares to raise a total of US$7.9 million in proceeds to fund completion of definitive feasibility study for the company's 100 percent-owned flagship Beruang Kanan Main (BKM) copper project, drilling of high priority targets nearby BKM, and expansionary drilling at the Beutong Porphyry project in Indonesia?s Central Kalimantan Province.

The company said the Placing Shares, which will be issued and settled in CREST, have been conditionally placed with certain institutional and other investors. The Placing is subject to admission of the Placing Shares to trading on AIM (Admission). Application has been made for the Placing Shares to be admitted to trading on AIM and it is expected that Admission will take place on or around August 15, 2017.

Optiva Securities Limited is acting as broker in connection with the Placing. Natural Resources Global Capital Partners Limited (NRG) is acting as financial adviser in connection with the Placing.

Asiamet said Antony Manini, a Director and Executive Chairman of the company; Stephen Hughes, a Director and Vice President Exploration of the company; and Faldi Ismail, a Director of the company, are participating in the Placing and have agreed to subscribe for 1,000,000, 418,605 and 283,395 Placing Shares respectively at the Placing Price.

In addition, Significant Shareholders Asipac Group Pty Ltd. (Asipac) and Namarong Investments Pty Ltd. (Namarong) are participating in the Placing and have agreed to subscribe for 7,441,860 and 7,209,302 Placing Shares respectively, at the Placing Price.

On Admission, the shareholdings in the company of Asipac and Namarong will be 41,913,340 common shares (4.90%) and 36,334,069 common shares (4.25%) respectively.

JP Morgan Asset Management has participated in the Placing and agreed to subscribe for 71,010,118 Placing Shares at the Placing Price. Upon Admission, JP Morgan Asset Management will have a beneficial interest in the company of 71,010,118 common shares, which will represent approximately 8.31 percent of the enlarged share capital of the company as at Admission, and thus be a significant shareholder.

Editing by Reiner Simanjuntak