THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.
16 January 2023
BWA Group PLC
(“BWA” or the “Company”)
Business & Funding Update
BWA Group PLC [AQSE: BWAP], which has mineral exploration licences in both Cameroon and Canada at various stages of development and is quoted on London’s AQSE Growth Market, announces an update on its funding and working capital position.
The position set out in the announcements of 13 October 2022, 18 November 2022 and 5 December 2022 is largely unchanged. The board of directors of the Company (the “Board”) continues to review alternative sources of capital and opportunities for the Company. These include, but are not limited to:
Further issues of Loan Notes;
Disposals of assets; and
Seeking additional capital at a subsidiary level.
As a result of its perseverance and in-country mineral exploration activities, the Company has been granted three additional Heavy Mineral Sands Licences for rutile in Cameroon. As set out in the earlier RNS announcement of 13 December 2022, the additional licences in Cameroon, increase the total licences exploration area to 1,268 sq. kms, more than doubling the exploration area of the first 2 licences.
Furthermore, BWA, still has two additional contiguous Heavy Mineral Sands Licences for rutile applied for.
The Board is currently involved in discussion, with NDA’s exchanged, with three listed companies in Europe and North America involved in mineral exploration with a view to either entering into JV Agreements or outright sale of some of its mineral licences.
Any such investment or proceeds could be into BWA, its subsidiaries or directly into projects.
The Board is cognisant of the current difficulties in raising funds on public equity markets and is taking appropriate professional advice and as a result the Company continues to be supported by its directors, associates and shareholders through short-term loans.
As at 6 January 2023 the Company had cash balances of £14,912 and current liabilities of £165,754. The Board continues to seek to minimise any further expenditure until a solution can be found.
Further to the announcement of 11 August 2022, that St-Georges Eco-Mining Corp. ("SGEM") had commenced legal action in regard to their request to convert part of their holding of convertible loan notes (“CLN”), BWA, following consultation with its lawyers in both the UK and Canada, continues to decline to accept the request until its existing legal action in Canada is concluded as the CLN form an integral element of the action and as result is in the process of filing a Defence to the SGEM legal action.
Further updates will be made as matters develop.
The Directors of BWA are responsible for the contents of this announcement.
For further information:
BWA Group PLC
+44 7770 225253