Thursday, July 7, 2022

Hana closes private placement, to submit feasibility study

Hana Mining Ltd, the Canadian-based exploration company and owners of the Ghanzi Copper-Silver Project, said it has closed the non-brokered private placement previously announced on January 26, 2012 and it is in the process of submitting a Feasibility Study to the Ministry of Minerals, Energy and Water Resources.

According to a statement, the private placement consists of 11,054,648 common shares at a price of Cdn$1.35 per share for gross proceeds of Cdn$14,923,775. Shares issued pursuant to the private placement will be subject to a 4-month hold period expiring on June 4, 2012.

The private placement has been conditionally accepted by the TSX Venture Exchange.

Cupric Canyon Capital LP (Cupric), which is owned by its management and the Barclays Natural Resource Investments division of Barclays Capital, acquired 6,250,000 of the newly issued shares and now holds 10 percent of the company’s issued and outstanding shares.

Cupric is focused on acquiring interests in undeveloped copper assets with a known resource and adding value to them by assisting in the advancement of the projects through the development process.

The management of Cupric, all of whom are former senior executives with major mining companies, including Phelps Dodge Corporation, has decades of experience in the exploration, development and operation of world-class copper assets.

“This agreement is the culmination of many months of building a relationship between the Company and Cupric,” Hana Mining’s CEO and Chairman, Marek Kreczmer said.

“Cupric’s management team brings valuable experience in the development and operation of copper projects in North America, South America and Africa, most notably the world-class Tenke Fungurume copper-cobalt mine in the Democratic Republic of Congo. I look forward to working with the management of Cupric towards the development of the Ghanzi Project,” he added.

Kreczmer said with this financing in place, they will be able to proceed with their Cdn$18 million budget for 2012.

“In addition to completing the PEA, we will submit the Feasibility Study to the Botswana Ministry of Minerals, Energy and Water Resources and will allocate Cdn$5 million for a multiphase regional exploration campaign outside of the Banana Zone at Ghanzi,” the company said.

There are other unnamed long term shareholders that participated in the placement.
“We are pleased to have an opportunity to participate in this private placement by Hana Mining,” CEO of Cupric, Dennis Bartlett, said.

“With this investment, we look forward to collaborating with Marek and his team in an effort to further advance the Ghanzi Project, which we believe is one of the most highly prospective undeveloped copper resources in the world today,” he said.

Proceeds from this placement will be used to complete both the Preliminary Economic Assessment and the Feasibility Study and to advance the regional exploration and development of the Ghanzi project and related working capital and general corporate purposes.

The Ghanzi Project is located in the center of the Kalahari Copper Belt in northwestern Botswana. It covers 2,149 square kilometres, and contains sediment-hosted copper-silver deposits with a demonstrated cumulative tested strike length of 70 kilometres.

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