Aspire Mining Limited (ASX:AKM) Complete Placement And Announce Board Appointment
Aspire and SouthGobi announced the Placement Agreement on 25 October 2010, under which Aspire has raised A$20.1 million through the issue of 19.9% of the company's issued ordinary share capital to SouthGobi. Aspire received shareholder approval for the placement and strategic alliance on 15 December 2010 and SouthGobi received Foreign Investment Review Board ("FIRB") approval on 22 December 2010.
The funds from the placement will assist Aspire with its 2011 exploration and resource drilling programme at the Aspire 100%-owned Ovoot Coking Coal Project in Mongolia and the payment of the deferred consideration owing in respect to the acquisition of Ovoot.
Mr Tony Pearson, SouthGobi's Vice President of Corporate Development, joined the Aspire Board of Directors today. He has previously held senior positions with the Australian Securities & Investments Commission, Citigroup's (NYSE:C) Metals and Mining Investment Banking team and Westpac Banking Corporation (ASX:WBC) (NYSE:WBK).
During his time with Citigroup, Mr Pearson advised mining clients on capital raisings, mergers, acquisitions and divestitures, particularly for Asian and Australian mining companies. At Westpac, Mr Perason was integral to the establishment of the bank's infrastructure and funds management business, focusing on financing and investment activities in the infrastructure and transportation sectors.
Aspire's Managing Director, Mr David Paull, said: "We are very pleased to welcome SouthGobi as the company's cornerstone shareholder and look forward to a very active 2011 exploration and development programme targeted towards our Ovoot Coking Coal Project."
About Aspire Mining Limited
Aspire Mining Limited (ASX:AKM) owns 100% of the Ovoot Coking Coal Project in northern Mongolia. Aspire completed a Pre-Feasibility Study for the Ovoot Project in May 2012, targeting a large scale open pit mining operation, with production of 10-12 Mtpa of saleable coking coal at full capacity. Aspire is targeting first production at Ovoot in early 2016 subject to approvals and licenses. Ovoot ranks as the second largest coking coal Reserve, by project in Mongolia, with a JORC Code compliant Coal Resource at Ovoot of 252 Mt (156 Mt Measured, 70 Mt Indicated, 26 Mt Inferred) and Probable Coal Reserves of 178 Mt. Aspire is continuing to progress its application for a mining license, and access to rail infrastructure and other regulatory approvals.
Westpac Banking Corp
SouthGobi Resources Limited
Aspire Mining Limited