Botswana Stock Exchange-listed and 100 percent owner of the 390 million tonnes Masama coal mine, Minergy Limited, is on a mission of joining the big guns on the on the United Kingdom’s Alternative Investment Market (AIM) in 2019.
According to Minergy, the granting of the license reduced the risk for any potential investors, and provided the vital key to ensuring the viability of the project, which in turn substantially enhances the company’s investment case.But the company’s main business is inside Botswana borders where it is listed and currently intends to raise P70 million through private placements from selected institutional investors in order to start operations next year between January and February.
In the coming Extraordinary General Meeting slated for 11 December, Minergy Limited shareholders are due to meet next month to consider the company's plan to raise P70 million via the offer of 82 million new shares to institutional investors. The coal mining and trading company showed progress made towards the building of the mining operation, including the new washing plant.
According to Minergy, the company intends to raise extra P70 million through private placements from African Alliance with shares to be issued at P0.85 per share towards the planned development activities like the Masama project. The Masama coal project is located on the southern edge of the Mmamabula Coalfield in Botswana. Minergy shareholders are expected to meet next month to consider the move to raise P70 million via the offer of 82 million new shares to institutional investors.
The issuance of shares at 85 thebe per share to African Alliance to raise BWP70 million is dependent on the Transaction being approved by the Company’s shareholders. Minergy shareholding percentage comprises of Minergy Mineral Resources 56.04 percent, African Alliance 18.47 percent and Alan Gray 16.61 percent. Minergy Mineral Resources will not be voting due to the fact that they are a Controlling Shareholder (as defined in the BSE Listings Requirements).
African Alliance will not be voting as they are participating in the Offer for Subscription. “The issue of Subscription Shares is subject to the grant of the approval of 75 percent majority votes of all Shareholders present or represented by proxy at the Extraordinary General Meeting. All Shareholders are entitled to vote excluding Minergy Mineral Resources as it holds 56.04 percent of the Shares in the Company and is therefore regarded as a “Controlling Shareholder” (as defined in the BSE Listings Requirements),” said Minergy.
The Company is the holding company of the Minergy Group which pursues mineral exploration, and is currently working towards the development of its Masama Coal Mine on the southern edge of the Mmamabula Coalfield in Botswana. The Masama Coal Resource is a unique coal asset that represents a low-cost mine development opportunity, and the development of the Masama Coal Mine represents the first step in Minergy's strategy of becoming a mid-tier Southern African coal mining and energy company.
China’s Gross Domestic Product (GDP) expanded by 3% year-on-year to 121.02 trillion yuan ($17.93 trillion) in 2022 despite being mired in various growth pressures, according to data from the National Bureau Statistics.
The annual growth rate beat a median economist forecast of 2.8% as polled by Reuters. The country’s fourth-quarter GDP growth of 2.9% also surpassed expectations for a 1.8% increase.
In 2022, the Chinese economy encountered more difficulties and challenges than was expected amid a complex domestic and international situation. However, NBS said economic growth stabilized after various measures were taken to shore up growth.
Industrial output rose 3.6% in 2022 over the previous year, while retail sales slightly shrank by 0.2% data show that fixed-asset investment increased 5.1% over 2021, with a 9.1% hike in manufacturing investment but a 10% fall in property investment.
China created 12.06 million new jobs in urban regions throughout the year, surpassing its annual target of 11 million, and officials have stressed the importance of continuing an employment-first policy in 2023.
Meanwhile, China tourism market is a step closer to robust recovery. Tourism operators are in high spirits because the market saw a good chance of a robust recovery during the Spring Festival holiday amid relaxed COVID-19 travel policies.
On January 27, the last day of the seven-day break, the Ministry of Culture and Tourism published an encouraging performance report of the tourism market. It said that domestic destinations and attractions received 308 million visits, up 23.1% year-on-year. The number is roughly 88.6% of that in 2019, they year before the pandemic hit.
According to the report, tourism-related revenue generated during the seven-day period was about 375.8 billion yuan ($55.41 billion), a year-on-year rise of 30%. The revenue was about 73% of that in 2019, the Ministry said.
The state of the art jewellery manufacturing plant that has been set up by international diamond and cutting company, KGK Diamonds Botswana will create over 100 jobs, of which 89 percent will be localized.
Local diamond and metal exploration company Tsodilo Resources Limited has negotiated a non-brokered private placement of 2,200, 914 units of the company at a price per unit of 0.20 US Dollars, which will provide gross proceeds to the company in the amount of C$440, 188. 20.
According to a statement from the group, proceeds from the private placement will be used for the betterment of the Xaudum iron formation project in Botswana and general corporate purposes.
The statement says every unit of the company will consist of a common share in the capital of the company and one Common Share purchase warrant of the company.
Each warrant will enable a holder to make a single purchase for the period of 24 months at an amount of $0.20. As per regularity requirements, the group indicates that the common shares and warrants will be subject to a four month plus a day hold period from date of closure.
Tsodilo is exempt from the formal valuation and minority shareholder approval requirements. This is for the reason that the fair market value of the private placement, insofar as it involves the director, is not more than 25% of the company’s market capitalization.
Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for economic diamond and metal deposits at its Bosoto Limited and Gcwihaba Resources projects in Botswana. The company has a 100% stake in Bosoto which holds the BK16 kimberlite project in the Orapa Kimberlite Field (OKF) in Botswana.