African Potash Limited ('African Potash' or 'the Company')
Investment in Blenheim Natural Resources Plc
African Potash, the AIM listed exploration company focused on the vertical integration of fertiliser operations in Africa and sub-Saharan potash assets, draws shareholders' attention to the announcement made today by Blenheim Natural Resources Plc ('Blenheim'), the AIM quoted UK based investing company which invests in businesses and projects in the mineral exploration, mining and extraction sectors.
As set out in its announcement, Blenheim has raised via a placing, a total of £640,000, before expenses. As part of this placing, African Potash has subscribed for 8,750,000 Ordinary Shares at a price of 0.8 pence per Ordinary Share, representing 4.74 per cent. of the enlarged share capital of Blenheim. Additionally,Chris Cleverly, Executive Chairman of African Potash, has joined the board of Blenheim as a non-executive Director. These steps establish a relationship between both parties looking for value opportunities, particularly in Africa, as African Potash continues to build its vertically integrated fertiliser model.
African Potash Executive Chairman Chris Cleverly said, "African Potash is delighted to invest in Blenheim, assisting it to continue to make investments in accordance with its investing policy. Africa remains one of the fastest growing regions in the world and according to the African Development Bank, the size of Africa's food and agribusiness will be 1 trillion dollars by 2030 and foreign direct investment into this sector will increase to $45 billion by 2020. We intend to be at the forefront of this trend and the relationship between African Potash and Blenheim is a positive step towards identifying potential opportunities for the benefit of shareholders of both companies."
African Potash is an AIM quoted company focussed on building a vertically integrated platform for the mining, production and distribution of fertiliser, primarily within Africa.
The Company has a trading agreement with the Common Market for Eastern and Southern Africa ('COMESA'), a free trade union for twenty African member states, to supply and deliver at least 500,000 metric tonnes of fertilisers on an annual basis to off-takers identified and introduced by COMESA.
The Company also operates the Lac Dinga Project in the Republic of Congo, which is prospective for potash, a key source of potassium fertiliser.
Blenheim Natural Resources Plc is a UK based company which has established a small portfolio of shares in natural resource companies; further information can be found on its website http://www.blenheimnaturalresources.com/.
This information is provided by RNS
The company news service from the London Stock Exchange