Marula Mining Announces Investment And Co-Development Partnership With Q Global Commodities Group
Marula Mining Announces Investment And Co-Development Partnership With Q Global Commodities Group. Marula Mining an African focused mining and development company, announces that further to the announcement made on 5 January 2023, the Company has signed a conditional Subscription Agreement, and is finalising a Co-Development Agreement and Relationship Agreement with K2020273872 (South Africa) Proprietary Limited, a wholly owned subsidiary of Q Global Commodities Group, one of South Africa’s leading independent commodity, mining, logistics and investment funds.
Under the terms of the Investment Agreements, it is proposed that Q Global will subscribe for up to £3.75 million through the issue of up to 100,000,000 new ordinary shares of 0.01 pence each in the company at a price of 3.75 pence per new ordinary share through a staged equity investment across five equal tranches of £0.75 million. Q Global will also provide broad technical, financial and strategic support to the company as it seeks to accelerate its battery metals focused strategy in Africa and participate directly through the co-development of projects secured and identified by the company.
As part of the Investment Agreements, it is proposed that Mr Quinton van der Burgh, Q Global’s CEO and one of South Africa’s leading mining entrepreneurs, will be appointed Chairman of the Board of Directors, subject to completion of all normal regulatory approvals and proposed dual listing of its shares to trading on AIM, the market operated by the London Stock Exchange Group plc. The Investment Agreements are conditional upon, amongst other things, a Rule 9 Waiver being obtained in accordance with the City Code on Takeovers and Mergers and shareholder approval at a forthcoming general meeting of the company.
Jason Brewer, Marula Mining PLC CEO said: “I am delighted to see Marula Mining continuing to strengthen its partnerships and this partnership with Q Global is transformative and means we can accelerate and further develop the assets we have and invest in further assets that we have identified, as part of our strategy. I believe the investment by Q Global effectively removes funding risk from advancing our projects and allows us to move quickly and start to realise the full potential of our current and future projects. We can accelerate all our projects, from completion of resource drilling through to mine site development with the broad technical, financial and strategic support from Q Global and Quinton. We believe this partnership has many synergies, one of note is our alignment on all things ESG related. Q Global share the same vision as us as we continue delivering our strategy of investing in and developing green transition metal mining assets across Africa.
He continued to say, “Under Quinton’s leadership, Q Global has established itself as one of South Africa’s leading mining and metals investment funds and with global networks in mining finance and the marketing and sales of commodities. To be in partnership with such a group is a major milestone for the Company and one I believe will be of significant value to its shareholders. With Q Global and Quinton, we now have the ability to implement our exploration plans, resource drilling programs, feasibility studies and development work across our projects. Through strengthened financial and marketing relationships, I believe we can now look to establish Marula as a profitable producer of critical metals and commodities that are of increasing strategic importance to modern technologies and the global economy.”
Quinton van der Burgh, Q Global Commodities CEO said: “With over 19 years’ mining experience, I believe I can add a lot of value to Marula. I have developed over 47 projects to mining stage, have run two large-scale mining companies and currently have 9 mines under my management. Q Global has the network to open international partners for sales and marketing and we intend to fund the company through the Investment Agreements to realise the value of the assets. We want to ensure that Marula continues to grow and provide positive returns for shareholders. After careful due diligence, we believe Marula has potential and we intend to assist the Company in meeting its growth targets. Renewables are a very exciting space to be moving into and it’s through joint ventures that Q Global is able to do so, whilst at the same time expanding our commodities portfolio.”
