Highlights
· Hummingbird is undertaking an equity placement of up to US$30 million (the "Placement") at a price of 11.2625 pence per Subscription Share (the "Placement Price"), underwritten by a partially conditional US$25 million investment by the Company's largest shareholder and strategic investor CIG SA ("CIG"), to accelerate its growth strategy, increase exploration, and strengthen its balance sheet to provide capital support for the Group's operations.
· In addition to the Placement, the Company will offer shareholders the opportunity to subscribe for shares at the same price as the Placement through an open offer to be launched in due course (the "Open Offer").
· Hummingbird is in the process of converting its 51% interest in the Dugbe Gold Project, Liberia (the "Project"), into a 51% controlling shareholding interest in TSX-V listed Pasofino Gold Limited ("Pasofino"). The conversion simplifies the ownership structure of the Project, providing clear visibility and control to facilitate more efficient decision-making and project advancement.
· The Group intends to enter into a near term revenue protection strategy through a gold price cost collar over a portion of the Company's production for the first three quarters of FY-2024 in the order of c.60,000 ounces ("oz"), as the Company materially deleverages its balance sheet.
· Yanfolila remains on track to meet its FY-2023 production guidance of 80,000 - 90,000 oz with AISC under US$1,500 per oz and the ramp-up at Kouroussa continues to progress towards full scale commercial production in early FY-2024.
· The Company is on track to produce c.200,000 oz in FY-2024. Formal FY-2024 Group production and AISC guidance will be provided at the Q4-2023 operational and trading update, expected at the end of January FY-2024.
Dan Betts, CEO of Hummingbird, commented:
"Today's announcement of an equity placement, corner-stoned by CIG demonstrates the ongoing support for Hummingbird to implement our growth strategy. The Placement strengthens our balance sheet, increases our.. see & read more on
https://polaris.brighterir.com/public/hummingbird/news/rns/story/wke53dw |
