TIDMBRES

RNS Number : 7043Y

Blencowe Resources PLC

17 January 2022

17 January 2022

Blencowe Resources Plc

("Blencowe" or the "Company")

Consolidated Africa dispose of entire holding to new and existing shareholders

&

Appointment of Joint Broker

Blencowe Resources Plc (" Blencowe" or the "Company") (LSE: BRES) has been notified that Consolidated Africa Limited ("CAL") has today sold its entire holding in the Company (17,725,000 ordinary shares being 10.9% of the issued share capital) to new and existing shareholders arranged through Tavira Securities Limited ("Tavira").

CAL received 25,000,000 ordinary shares in Blencowe following its sale of the Orom Cross graphite project in 2020. CAL were locked up for one year following the IPO in June 2020.

Appointment of Joint Broker

The Company is pleased to announce that it has appointed Tavira as its joint broker. Tavira has recruited senior personnel from the Company's former broker Brandon Hill Capital Limited and Blencowe looks forward to continuing the strong relationship with the team.

Executive Chairman Cameron Pearce Commented:

"We are pleased that the share register has been strengthened following these on market share purchases. We believe with a market cap of approximately GBP6.5M, the Company is significantly undervalued, as evidenced by our recent Preliminary Economic Assessment which yielded an NPV for Orom-Cross of US$317M. In December 2021 we closed on a GBP2M fundraise at 5p per share, which has provided sufficient capital to undertake our 2022 work programme at Orom-Cross, including the completion of a Pre-Feasibility Study. An updated resource statement on Orom-Cross is due to be released later this quarter, which we expect will further increase the size and grade of the resource.

We would like to welcome Tavira Securities as co-broker and we look forward to continuing our relationship with the former senior members of the Brandon Hill team going forward.

For further information please contact:

 
  Blencowe Resources Plc   www.blencoweresourcesplc.com 
   Sam Quinn                Tel: +44 (0)1624 681 250 
                            info@blencoweresourcesplc.com 
 Investor Relations        Tel: +44 (0) 7891 677 441 
  Sasha Sethi               sasha@flowcomms.com 
 Tavira Securities         Tel: +44 (0)20 7100 5100 
  Jonathan Evans            jonathan.evans@tavirasecurities.com 
 First Equity Limited      Tel: +44(0)20 7330 1833 
  Jason Robertson           jasonrobertson@firstequitylimited.com 
 
   Twitter   https://twitter.com/BlencoweRes 
   LinkedIn   https://www.linkedin.com/company/72382491/admin/

Background

Orom-Cross is a potential world class graphite project both by size and end-product quality, with a high component of more valuable larger flakes within the deposit. A 21-year Mining Licence for the project was issued by the Ugandan Government in 2019 following extensive historical work on the deposit and Blencowe is moving into the studies phase shortly as it drives towards first production.

Orom-Cross presents as a large, shallow open-pitable deposit, with a maiden JORC Indicated & Inferred Mineral Resource deposit of 16.3Mt @ 6.0% Total Graphite Content. Development of the resource is expected to benefit from a low strip ratio and free dig operations, thereby ensuring lower operating and capital costs.

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January 17, 2022 08:00 ET (13:00 GMT)

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