ALTERNATIVE Investment Markets (Aim)-listed entity African Consolidated Resources (ACR) says it has agreed a subscription of 54,3 million new ordinary shares to raise £1,90 million aimed at developing Pickstone Gold Mine in Zimbabwe.
Report by Mernat Mafirakurewa
The listed resource and development company has interests in mining in Southern Africa.
In a trading update yesterday, ACR said the directors estimated that the net proceeds of the subscription would be sufficient to fund the company’s near-term liabilities and progress towards the advancement of its key projects, particularly the Pickstone-Peerless gold project.
“Today’s subscription and Craig Hutton’s recent appointment as chief executive mark a key transformation in ACR’s development from an exploration company to a mining company,” ACR said.
“Craig comes to ACR with extensive experience of production companies and a solid pedigree in financial valuation and management, project assessment and project fund sourcing, all vital skill sets which will facilitate ACR to advance its key projects towards production.
“Craig’s initial focus will be on the advancement of Pickstone-Peerless Gold Project, in which he has already been hugely instrumental, as the project moves towards its production phase targeting 15 000 to 20 000 ounces of gold per annum in the near term.
“As previously reported, Pickstone is an important development for Zimbabwe and it requires full involvement from all stakeholders. “Craig, with the support of recently announced management changes in Zimbabwe, will be tasked with ensuring that all stakeholders benefit from this emerging opportunity.”
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ACR said it anticipated that further funding would be required in the second quarter of this year to enable the company to continue operating as a going concern and develop its Pickstone-Peerless project together with its portfolio of high impact assets.
A recent study realesed by ACR that focused solely on an open-pit operation on the Pickstone sheer zone, showed that a high grade open pit would be able to produce at a rate of 50 000 tonnes per month and a mined grade of 4,6 grammes per tonne.
About ACR ACR is an Aim-listed multi-commodity resource development company focused on Zimbabwe. With over 12 key projects covering gold, nickel, platinum, copper, phosphate and diamonds, the company is focussed on developing these important strategic assets for the benefit of all stake holders.
The company believes that it is in the right place at the right time and that it has all the building blocks in place to maximise the potential of its portfolio.
