Minbos Resources raises funds to accelerate works in Cabinda phosphate project

ANGOLA – Australia Stock Exchange (ASX)-listed Minbos Resources is looking to raise US$5.7 million in a share placement to sophisticated investors to fully fund the definitive feasibility study and accelerate work at its Cabinda phosphate project, in Angola.

The company has received firm commitments for the placement of 91.25 million shares, priced at  7 cent each, with subscribers being offered one free option for every two shares subscribed for.

The option can be exercised at a price of 15 cent each and would have an expiry date of two years.

“We are delighted with the strong support for the placement which has fully funded our definitive feasibility study and provided capacity for the company to move on growth opportunities that our project makes possible,” said Minbos CEO Lindsay Read.

“In particular, we will now have capacity to progress key project items ahead of project finance drawdown.”

A 2020 scoping study into the Cabinda project estimated that it would cost between US$17.4-million and $21.7 million to develop, based on an initial nameplate capacity of 150 000 t/y of enhanced phosphate rock, but that it is forecast to start production at a rate of 50,000 tonnes per yar.

‘’We will now have capacity to progress key project items ahead of project finance drawdown”

Lindsay Read – CEO, Minbos

Minbos Resources Limited is an exploration company that is focused on the development of phosphate bearing ore within Cabinda Province of Angola and the adjoining areas of the far western Democratic Republic of the Congo (DRC).

Through its subsidiaries and joint ventures, the Company is focusing on the development of the high-grade Cacata project in Cabinda whilst growing its resource base in incremental stages on the remaining deposits in Angola.

The Company holds a concession area of approximately 400,000 hectares in the Congo Basin running from Cabinda, Angola to Western DRC.

The Company’s other projects include the Western Australia Phosphate, which has approximately two mining tenements prospective for phosphate.

The Cabinda license area covers an area of approximately 200,000 hectares in Cabinda, Angola.

Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals and insights from Africa’s business, economy and more. SUBSCRIBE HERE

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.