27th February 2018
Equatorial Mining & Exploration Plc ("EME" or the "Company")
Trading Update and Announcement of Planned Fund Raise
In the Trading Update dated 11th December 2017, the Company announced that its wholly owned Nigerian subsidiary, EME Mine Nigeria Limited ("EME Mine") had expected sales of coal shortly to commence from its recently acquired St Leonard Mine. The Directors are pleased to announce that they have sold a trial amount of 400 tonnes of coal. The customer has declared that our coal is suitable for them to commence negotiations for a long term supply agreement; however this will be conditional on EME committing to a minimum tonnage per month.
EME wishes to commit to this proposed agreement and position itself to supply coal into the growing demand within
During the four-year period of our involvement in
Our in-country operating margins are supported by the relatively low cost of staffing, plenty of available labour combined with the competitive costs for fuel and machine hire. Local relationships are important to the Company and the Board is pleased to report that the communities local to our mine are extremely friendly, cooperative and enthusiastic in their support for EME's continued operations in the area.
Fund raise.
To date the Board has managed to proceed on an extremely tight budget and the fabric of Equatorial Mining & Exploration Plc remains intact. However, for us to go forward and to capitalise on the opportunity at the existing and the new planned mine, the Board has determined that a minimum of
In the event that the funds are raised, the proposed offtake agreement is signed, and excavation commences by the end of March, then EME is expected to report conservatively, a profit before tax for the year to 31 December 2018 of
Enquiries:
Equatorial Mining & Exploration Plc: |
nelson@nexfin.org.uk |
NEX Exchange Adviser and Broker Alexander David Securities James Dewhurst |
+44 (0) 207 448 9820
|
The Directors take responsibility for this announcement.
This information is provided by RNS