07/03-2018 16:15:00: (ELE) Element ASA - Provides AMI update following completion of tranche one and two of the funding schedule
Reference is made to the announcement published on 5 February and the Q4 2017
report. Element has now completed its obligation to fund the first two tranches
of the financing agreement with AMI and Legacy Hill Resources Ltd ('LHR'). The
Company accordingly hold 21.3% of the issued shares and will upon conversion of
all convertible bonds, as agreed, hold 26.7% of the issued shares in AMI.
As planned, the parties have formalised and agreed to the long term strategy
plan for AMI and budget for the current year. AMI is currently in the process of
hiring an independent permanent CEO.
On the operational side AMI is in the process of seeking the necessary permits.
AMI aims at commencing trial production of pellet feed grade concentrate upon
receipt of the advanced exploration license which is currently scheduled for Q3
2018. Trial production of pellets will commence in due course thereafter.
LHR and Element have agreed to aim for listing of AMI in 2019, which is earlier
than initially intended. The potential listing is dependent of a variety of
factors and the exact timing is too early to predict, but the parties are
already dedicating resources in preparation for the listing. For further
information please see the AMI Update attached.
Oslo, 7 March 2018
For further information, please contact:
Chief Executive Officer
Telephone: +47 991 62 486
Chairman of the Board of Directors
Telephone: +356 7996 1497
About Element ASA
Element is an innovative project investment company within the mineral sector,
which continuously strives to create shareholder value at the lowest possible
risk. The company has as strategy to identify undervalued projects, closing in
on cash flow, where infrastructure and other basic work, if necessary, have in
large, been completed. The company's special focus is linked to projects within
new, and usually ground breaking technology, within its niches.
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