UK Markets open in 1 hr 32 mins

Serabi Gold plc (SRB.L)

LSE - LSE Delayed price. Currency in GBp
Add to watchlist
72.000.00 (0.00%)
At close: 4:19PM BST
Full screen
Previous close72.00
Open71.00
Bid71.00 x 0
Ask73.00 x 0
Day's range71.00 - 73.52
52-week range48.40 - 118.40
Volume126,304
Avg. volume193,887
Market cap54.529M
Beta (5Y monthly)1.65
PE ratio (TTM)7.06
EPS (TTM)10.20
Earnings date08 Apr 2021 - 09 Apr 2021
Forward dividend & yieldN/A (N/A)
Ex-dividend dateN/A
1y target estN/A
  • Globe Newswire

    Financial and Accounting Update

    For immediate release 11 May 2021 Serabi Gold plc (“Serabi” or the “Company”) Financial and Accounting Update Serabi issued a news release on 1 April 2021 advising that, during the course of audit work in Brazil, the Company had become aware that certain cash withdrawals made during 2020, and amounting to approximately US$80,000, lacked documentary support. Following further enquiries undertaken by the Company and its legal advisers in Brazil, the Company advises that it has commenced proceedings to terminate the employment contracts of two of its Brazil-based senior managers. During the course of the Company’s on-going enquiries, further unsupported cash withdrawals have been identified dating back to 2015 of approximately US$120,000 (at current exchange rates), making the total level of unsubstantiated cash withdrawals approximately US$200,000. The Company has also identified a number of other potential irregularities relating to expense claims and other minor items which may require further review. The Company has retained the services of local forensic accountants to assist its UK auditors in order that the auditors can, as quickly as possible, conclude their audit procedures, permitting the Company to publish its Financial Statements for the 2020 calendar year. The Company remains confident that based on the results of the enquiries to date, the Financial Statements will be issued prior to 30 June 2021. The Company considers that the termination of the employment contract of the managers may result in legal proceedings in Brazil involving the Company’s subsidiary Serabi Mineracão SA. At this time therefore, save for any regulatory disclosure obligations, further details regarding the on-going enquiries in respect of these matters may be restricted so as not to prejudice any future legal proceedings. The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018. The person who arranged for the release of this announcement on behalf of the Company was Clive Line, Director. Enquiries: Serabi Gold plc Michael HodgsonTel: +44 (0)20 7246 6830Chief ExecutiveMobile: +44 (0)7799 473621 Clive LineTel: +44 (0)20 7246 6830Finance DirectorMobile: +44 (0)7710 151692 Email: contact@serabigold.com Website: www.serabigold.com Beaumont Cornish Limited Nominated Adviser Roland CornishTel: +44 (0)20 7628 3396Michael CornishTel: +44 (0)20 7628 3396 Peel Hunt LLP UK Broker Ross AllisterTel: +44 (0)20 7418 9000 CAMARCO Investor and Public Relations Gordon PooleTel:+ 44 (0)20 3757 4980Nick Hennis Emily Hall Copies of this announcement are available from the Company's website at www.serabigold.com. Neither the Toronto Stock Exchange, nor any other securities regulatory authority, has approved or disapproved of the contents of this announcement. ENDS

  • Globe Newswire

    Exploration drilling extends the newly developed Mogno and Ipe lodes

    For immediate release 11 May 2021 Serabi Gold plc(“Serabi” or the “Company”) Successful high-grade exploration drilling extends the newly developed Mogno and Ipe lodes at depth and potentially along strike. Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining and development company, is pleased to update the market on exploration drilling results from the Palito Mine where the combination of surface and underground exploration drilling has confirmed depth and plunge continuity of the high grades in the Mogno and Ipe lodes. A PDF version of this announcement, including all images, can be accessed using the following link https://bit.ly/3fc7mNq Highlights Drilling on the Mogno and Ipe veins at the Palito Mine has confirmed depth extensions by over 100 metres below the lowest mined level. Furthermore, step out drilling indicates additional payable ore shoots up to 600 metres along strike in both directions. Significant down plunge intersections on the Mogno lode from underground exploration drilling include: PUD0578 – 0.75m @ 39.96 g/t AuPUD0635 – 0.50m @ 12.52 g/t AuPUD0679 – 1.00m @ 51.76 g/t AuPUD0681 – 0.85m @ 35.31 g/t AuPUD0684 – 1.25m @ 17.29 g/t Au Down plunge intersections on the Ipe lode from underground drilling include: PUD0684 – 2.05m @ 13.54 g/t AuPDD0566 – 0.89m @ 36.62 g/t Au Surface drilling has highlighted a number of potential new ore shoots along strike on both lodes. On the Ipe vein, PDD0565 intersected 0.95m @ 3.49g/t Au 600 metres to the NW of the mine current development, and PDD0573 intersected 1.25m @ 3.64g/t Au 400 metres to the SE of the current mine development, opening up the possibility of a very significant resource increase. On the Mogno Vein previous drilling undertaken in 2018 also indicated this vein to be gold bearing 600 metres to the SE of the current mining area with PDD0533 having intersected 0.5m @ 1.38g/t Au whilst PDD0534 intersected 0.5m @ 2.06g/t Au. Mike Hodgson, CEO of Serabi, commented: “The Ipe and Mogno lodes are increasing their contribution of the Palito Mine ore feed due to their relative shallow depth and high grades. Both these veins are being mined less than 200 metres from surface so are easily accessed and with the main ramp already deepened to over 350 metres from surface, both Ipe and Mogno do not require much capital development. “Both shoots are extremely rich in both gold and copper with grades similar to the G3 vein which was a major contributing vein to Palito production in previous years. The confirmation that these veins are continuing at depth is excellent news and bodes well for the future of the operation. Furthermore, the drill results indicate significant potential to extend resources laterally along strike. We will continue drill testing these strike extensions over the coming months, and if we see a replication of the ore shoots currently being mined, this will confirm the potential for these two vein structures to continue make a major long-term contribution to gold production. “With drilling still ongoing at the Sao Chico and Sao Domingos prospects and a fourth rig arriving in June, we look forward to providing further exploration results to the market over the coming months.” Results HoleTargetEastWestRLDepth (m)Dip/AzmFrom To Apparent Width (m)Gold Grade(UTM- WGS84)(UTM- WGS84)(°/°UTM)(m)(m)(Au g/t)PALITO UNDERGROUND DD DRILLINGPUD0578Mogno633828930149060.654221.6-17/047209.50210.250.7539.96PUD0635Mogno633909930139016.649388.64-12/086284.55285.050.5012.52Ipe633909930139016.649388.64-12/086327.10328.401.304.30PUD0674Mogno633850930153013.715242-16/050185.20186.000.801.10Ipe633850930153013.715242-16/050 NSRPUD0676Mogno633850930153013.715279.7-30/049212.85213.550.704.48Ipe633850930153013.715279.7-30/049253.25255.051.801.73PUD0679Mogno6340729301608-11.380.5-56/26468.3069.301.0051.76PUD0681Mogno6340729301608-11.367-55/21835.1035.950.8535.31PUD0682Mogno634012930148913.715231.86-36/023133.80134.400.607.35Ipe634012930148913.715231.86-36/023190.30191.000.701.45PUD0684Mogno634012930148913.715241.73-38/070132.85134.101.2517.29Ipe634012930148913.715241.73-38/070199.50201.552.0513.54PALITO SURFACE DD DRILLINGPDD0564Mogno6337699301704269.99211.4-52/070128.40129.000.601.41 Ipe6337699301704269.99211.4-52/070 NSRPDD0565Mogno6336499302075304.17251.57-60/216 NSR Ipe6336499302075304.17251.57-60/216170.80171.750.953.49PDD0566Mogno6343009301219264.24330.77-60/051214.45215.000.552.48 Ipe6343009301219264.24330.77-60/051281.08281.970.8936.62PDD0567Mogno6345119301279228.47301.1-50/235 NSR Ipe6345119301279228.47301.1-50/235 NSRPDD0572Mogno6343469301140245.66317.9548.2/58.86 NSRPDD0573Mogno6344049301026216412.0345.7/56.96 NSR Ipe 371.40372.651.253.64PDD0576Mogno6343859301061229.58382.28-60/57 PendingPDD0577Mogno6339139301801231258.26-70/24 PendingPDD0578Mogno6338089301875245151.9-45/240 PendingPDD0579Mogno6336699301816306ongoing-45/038 OngoingReported intercepts calculated based on a minimum weighted average grade of 0.5g/t Au using a 0.5g/t Au weighted average lower cut and a maximum internal waste interval of 1.2m based on ALS and Serabi´s on-site lab reported analyses. Assay results reported within this release for surface drilling have been provide by ALS laboratories in Brazil whilst assay results for underground drilling are those provided by the Company's own on-site laboratory facilities at Palito and have not yet been independently verified. Serabi closely monitors the performance of its own facility against results from independent laboratory analysis for quality control purpose. As a matter of normal practice, the Company sends duplicate samples derived from a variety of the Company's activities to accredited laboratory facilities for independent verification. Since mid-2019, over 10,000 exploration drill core samples have been assayed at both the Palito laboratory and certified external laboratory, in most cases the ALS laboratory in Belo Horizonte, Brazil. When comparing significant assays with grades exceeding 1 g/t gold, comparison between Palito versus external results record an average over-estimation by the Palito laboratory of 6.7% over this period. Based on the results of this work, the Company's management are satisfied that the Company's own facility shows sufficiently good correlation with independent laboratory facilities for exploration drill samples. The Company would expect that in the preparation of any future independent Reserve/Resource statement undertaken in compliance with a recognised standard, the independent authors of such a statement would not use Palito assay results without sufficient duplicates from an appropriately certificated laboratory.NSR – No significant result To view the image of the Mogno Longsection, please click on this link -https://bit.ly/3bjaExc Mogno Longsection To view the image of the Ipe Longsection, please click on this link -https://bit.ly/33tfNhY Ipe Longsection To view the image of the Plan view of the Palito workings showing the location of Ipe and Mogn, please click on this link –https://bit.ly/3f90Gzz Plan view of the Palito workings showing the location of Ipe and Mogno, relative to the main mine The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018. The person who arranged for the release of this announcement on behalf of the Company was Clive Line, Director. Enquiries: Serabi Gold plc Michael HodgsonTel: +44 (0)20 7246 6830Chief ExecutiveMobile: +44 (0)7799 473621 Clive LineTel: +44 (0)20 7246 6830Finance DirectorMobile: +44 (0)7710 151692 Email: contact@serabigold.com Website: www.serabigold.com Beaumont Cornish LimitedNominated Adviser Roland CornishTel: +44 (0)20 7628 3396Michael CornishTel: +44 (0)20 7628 3396 Peel Hunt LLPUK Broker Ross AllisterTel: +44 (0)20 7418 8900Camarco Financial PRGordon Poole / Nick HennisTel: +44(0) 20 3757 4980 Copies of this announcement are available from the Company's website at www.serabigold.com. Neither the Toronto Stock Exchange, nor any other securities regulatory authority, has approved or disapproved of the contents of this announcement. GLOSSARY OF TERMS “Ag”means silver.“Au”means gold.“assay”in economic geology, means to analyse the proportions of metal in a rock or overburden sample; to test an ore or mineral for composition, purity, weight or other properties of commercial interest.“CIM”means the Canadian Institute of Mining, Metallurgy and Petroleum.“chalcopyrite”is a sulphide of copper and iron.“Cu”means copper.“cut-off grade”the lowest grade of mineralised material that qualifies as ore in a given deposit; rock of the lowest assay included in an ore estimate.“dacite porphyry intrusive”a silica-rich igneous rock with larger phenocrysts (crystals) within a fine-grained matrix“deposit”is a mineralised body which has been physically delineated by sufficient drilling, trenching, and/or underground work, and found to contain a sufficient average grade of metal or metals to warrant further exploration and/or development expenditures; such a deposit does not qualify as a commercially mineable ore body or as containing ore reserves, until final legal, technical, and economic factors have been resolved.“electromagnetics”is a geophysical technique tool measuring the magnetic field generated by subjecting the sub-surface to electrical currents.“garimpo”is a local artisanal mining operation“garimpeiro”is a local artisanal miner.“geochemical”refers to geological information using measurements derived from chemical analysis.“geophysical”refers to geological information using measurements derived from the use of magnetic and electrical readings.“geophysical techniques”include the exploration of an area by exploiting differences in physical properties of different rock types. Geophysical methods include seismic, magnetic, gravity, induced polarisation and other techniques; geophysical surveys can be undertaken from the ground or from the air.“gossan”is an iron-bearing weathered product that overlies a sulphide deposit.“grade”is the concentration of mineral within the host rock typically quoted as grams per tonne (g/t), parts per million (ppm) or parts per billion (ppb).“g/t”means grams per tonne.“granodiorite”is an igneous intrusive rock similar to granite.“hectare” or a “ha”is a unit of measurement equal to 10,000 square metres.“igneous”is a rock that has solidified from molten material or magma.“IP”refers to induced polarisation, a geophysical technique whereby an electric current is induced into the sub-surface and the conductivity of the sub-surface is recorded.“intrusive”is a body of rock that invades older rocks."Indicated Mineral Resourceis that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed."Inferred Mineral Resource”is that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.“Inferred Mineral Resource”‟ is that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.“mineralisation” the concentration of metals and their chemical compounds within a body of rock.“mineralised” refers to rock which contains minerals e.g. iron, copper, gold."Mineral Resource”is a concentration or occurrence of diamonds, natural solid inorganic material, or natural solid fossilized organic material including base and precious metals, coal, and industrial minerals in or on the Earth's crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.“Mineral Reserve”is the economically mineable part of a Measured or Indicated Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A Mineral Reserve includes diluting materials and allowances for losses that may occur when the material is mine“Mo-Bi-As-Te-W-Sn”Molybdenum-Bismuth-Arsenic-Tellurium-Tungsten-Tin“monzogranite”a biotite rich granite, often part of the later-stage emplacement of a larger granite body.“mt” means million tonnes.“ore” means a metal or mineral or a combination of these of sufficient value as to quality and quantity to enable it to be mined at a profit.“oxides” are near surface bed-rock which has been weathered and oxidised by long term exposure to the effects of water and air.“ppm” means parts per million.“Probable Mineral Reserve”is the economically mineable part of an Indicated and, in some circumstances, a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified.“Proven Mineral Reserve”is the economically mineable part of a Measured Mineral Resource. A Proven Mineral Reserve implies a high degree of confidence in the Modifying Factors“saprolite” is a weathered or decomposed clay-rich rock.“sulphide”refers to minerals consisting of a chemical combination of sulphur with a metal.“vein”is a generic term to describe an occurrence of mineralised rock within an area of non-mineralised rock.“VTEM”refers to versa time domain electromagnetic, a particular variant of time-domain electromagnetic geophysical survey to prospect for conductive bodies below surface. Assay ResultsAssay results reported within this release for surface drilling have been provide by ALS laboratories in Brazil whilst assay results for underground drilling are those provided by the Company's own on-site laboratory facilities at Palito and have not yet been independently verified. Serabi closely monitors the performance of its own facility against results from independent laboratory analysis for quality control purpose. As a matter of normal practice, the Company sends duplicate samples derived from a variety of the Company's activities to accredited laboratory facilities for independent verification. Since mid-2019, over 10,000 exploration drill core samples have been assayed at both the Palito laboratory and certified external laboratory, in most cases the ALS laboratory in Belo Horizonte, Brazil. When comparing significant assays with grades exceeding 1 g/t gold, comparison between Palito versus external results record an average over-estimation by the Palito laboratory of 6.7% over this period. Based on the results of this work, the Company's management are satisfied that the Company's own facility shows sufficiently good correlation with independent laboratory facilities for exploration drill samples. The Company would expect that in the preparation of any future independent Reserve/Resource statement undertaken in compliance with a recognised standard, the independent authors of such a statement would not use Palito assay results without sufficient duplicates from an appropriately certificated laboratory Qualified Persons StatementThe scientific and technical information contained within this announcement has been reviewed and approved by Michael Hodgson, a Director of the Company. Mr Hodgson is an Economic Geologist by training with over 26 years' experience in the mining industry. He holds a BSc (Hons) Geology, University of London, a MSc Mining Geology, University of Leicester and is a Fellow of the Institute of Materials, Minerals and Mining and a Chartered Engineer of the Engineering Council of UK, recognising him as both a Qualified Person for the purposes of Canadian National Instrument 43-101 and by the AIM Guidance Note on Mining and Oil & Gas Companies dated June 2009. Forward Looking StatementsCertain statements in this announcement are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ‘‘believe’’, ‘‘could’’, “should” ‘‘envisage’’, ‘‘estimate’’, ‘‘intend’’, ‘‘may’’, ‘‘plan’’, ‘‘will’’ or the negative of those, variations, or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions, competition, environmental and other regulatory changes, actions by governmental authorities, the availability of capital markets, reliance on key personnel, uninsured and underinsured losses and other factors, many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions, the Company cannot assure investors that actual results will be consistent with such forward looking statements. ENDS Attachment Palito Exploration Update May 21

  • Globe Newswire

    Notice of General Meeting

    For immediate release 28 April 2021 Serabi Gold plc (“Serabi” or the “Company”) Notice of General Meeting The Company announces that a General Meeting will be held on Tuesday 25 May 2021, at The Long Barn, Cobham Park Road, Downside, Surrey KT11 3NE England at 10.00 am (BST). The Company has published the formal notice of the meeting (the “Notice”) on its website which can be accessed using the following link https://bit.ly/3dMm7at. Proxy voting forms are being posted to all shareholders providing details of how to access the Notice and instructions for voting. A copy of the Notice together with proxy voting forms is being posted to all shareholders who are required to receive or have formally requested to receive these documents. The Notice contains a letter from the Chairman of the Company, Mr Nicolas Bañados, which is set out below in the Appendix. Changes to the format of the General Meeting The Board continues to closely monitor developments in relation to the Covid-19 pandemic and the health and wellbeing of the Company’s shareholders and employees continue to remain of paramount importance. As a result of the UK Government’s current guidance on social distancing and the prohibition on public gatherings due to the Covid-19 pandemic, it is expected that shareholders will not be permitted to attend the General Meeting. The General Meeting will be convened in accordance with the Company’s Articles of Association and in line with the UK Government guidance. The Company will make arrangements such that the legal requirements to hold the General Meeting can be satisfied through the attendance of a minimum number of people who are essential for the business of the General Meeting, and the format of the General Meeting will be purely functional. Having regard to their own safety and that of others, the Board respectfully requests that, if these restrictions remain in place at the time of the General Meeting (as they are expected to), shareholders comply with the UK Government’s current guidance and do not make plans to attend the General Meeting. To ensure the safety of the limited number of people whose attendance at the General Meeting is essential, we will not be able to allow any other Shareholders to gain access to the General Meeting on the day. If it becomes possible to admit Shareholders to the General Meeting, we will make an announcement on our website (www.serabigold.com) and via a Regulatory Information Service. To ensure that Shareholders’ votes are counted, the Board strongly encourages all Shareholders to exercise their right to vote by appointing the Chairman of the General Meeting as their proxy to vote at the General Meeting on their behalf, in accordance with their instructions. Shareholders should not appoint any person other than the Chairman of the General Meeting to act as their proxy, as that person will likely not be granted access to the General Meeting on the day and their appointing shareholder’s votes will not be able to be counted. (1) Certain resolutions to be proposed at the meeting will be special resolutions requiring approval of more than 75% of the votes cast. Under Canadian National Instrument 54-101, the meeting therefore also constitutes a Special Meeting. Enquiries: Serabi Gold plc Michael HodgsonTel: +44 (0)20 7246 6830Chief ExecutiveMobile: +44 (0)7799 473621 Clive LineTel: +44 (0)20 7246 6830Finance DirectorMobile: +44 (0)7710 151692 Email: contact@serabigold.com Website: www.serabigold.com Beaumont Cornish Limited Nominated Adviser Roland CornishTel: +44 (0)20 7628 3396Michael CornishTel: +44 (0)20 7628 3396 Peel Hunt LLP UK Broker Ross AllisterTel: +44 (0)20 7418 9000 CAMARCO Investor and Public Relations Gordon PooleTel:+ 44 (0)20 3757 4997Nick Hennis Emily Hall Copies of this announcement are available from the Company's website at www.serabigold.com. Neither the Toronto Stock Exchange, nor any other securities regulatory authority, has approved or disapproved of the contents of this announcement. Appendix 1 The letter from the Chairman of the Company included in the Notice is reproduced below (without material adjustment): Dear Shareholder Introduction On 2 March 2021, the Company announced it had raised £12.5 million (approximately US$17.5 million) (before expenses) by way of the Share Placing and PrimaryBid Offer to institutional and other investors at a price of 75 pence per Ordinary Share. The Company also announced that it had secured conditional subscriptions for 4,003,527 Warrants at an issue price of £0.06 (C$0.11) per Warrant to raise gross proceeds of approximately US$0.3 million (£0.2 million / C$0.4 million), subject amongst other things to shareholder approval at the General Meeting. The Warrants will have an Exercise Price of £0.9375 (C$1.65) per new Ordinary Share and will be exercisable for two years from their date of issue. The purpose of this document is to provide the formal notice (the "Notice") of the General Meeting to be held at The Long Barn, Cobham Park Road, Downside, Cobham, Surrey, KT11 3NE, England on 25 May 2021 at 10 a.m. (London time) at which the Resolutions to approve the issue of the Warrants will be proposed. . Canadian Designated Foreign Issuer Status The Company is a “designated foreign issuer” for the purposes of Canadian Securities Administrators’ National Instrument 71-102 – Continuous Disclosure and Other Exemptions Relating to Foreign Issuer (“NI 71-102”), and, as such, the Company is not subject to the same ongoing reporting requirements as most other reporting issuers in Canada. Generally, the Company complies with Canadian ongoing reporting requirements by complying with the regulatory requirements of AIM, which is a “foreign regulatory authority” (as defined in NI 71-102), and filing any documents required to be filed with or furnished to AIM with the securities regulatory authorities in Canada. Background to and reasons for the issue of the Warrants On 2 March 2021, the Company announced that it had placed with new and existing investors a total of 16,650,000 new Ordinary Shares in the capital of the Company at a Placing Price of £0.75 (C$1.32) per new Ordinary Share. At the same time and pursuant to the Warrant Placing, the Company also secured commitments from investors to subscribe for 4,003,527 Warrants at an issue price of £0.06 (C$0.11) per Warrant raising gross proceeds of US$0.3 million (£0.2 million / C$0.4 million), subject amongst other things to shareholder approval at the General Meeting. The Warrants will have an Exercise Price of £0.9375 (C$1.65) per new Ordinary Share and will be exercisable for two years from their date of issue. Accordingly, if all the Warrants are exercised, the aggregate exercise price receivable by the Company in respect of the 4,003,527 new Ordinary Shares would be an additional amount of approximately £3.75 million. During the course of planning for the Share Placing, the Company, after consultation with the Joint Bookrunners and the Manager, had decided that in order to secure the best terms for the Share Placing and to widen the appeal of the Share Placing for investors, it was appropriate that investors should be given the opportunity to subscribe for Warrants. Recognising that some investors may have restrictions on their ability to hold securities which provide future rights to subscribe for Ordinary Shares, such as the Warrants, it was decided that the Warrants would be offered by way of a separate subscription. The Directors believe that the amount that would be paid to the Company in respect of the Warrants is justified on the basis that: (i) the Warrant Placing assisted in obtaining the best terms for the Share Placing, and (ii) the Exercise Price in respect of the Warrants represented a 25% premium to the Placing Price. The Warrant Placing The Warrant Placing is conditional upon, among other things, the approval of the Resolutions at the General Meeting, and such aspects of the Placing Agreement as relate specifically to the Warrants becoming unconditional and the Placing Agreement not being terminated in accordance with its terms prior to the date of issue of the Warrants. The Ordinary Shares to be issued pursuant to the exercise of the Warrants will rank pari passu with the Existing Ordinary Shares. At the General Meeting, the Company will be seeking to pass both an ordinary and special resolution (which will require votes in favour from at least 75% of the Ordinary Shares present and voting at the General Meeting) in order to give the Directors authority to allot the Warrants to the Warrant Placees on a non-pre-emptive basis. Use of proceeds The Directors intend to use the proceeds from the Warrant Placing which in total will be £0.24 million (before expenses) for the Company's working capital purposes. The General Meeting The Warrant Placing is conditional upon the approval of the Resolutions by Shareholders at the General Meeting to be held at The Long Barn, Cobham Park Road, Downside, Cobham, Surrey, KT11 3NE, England on 25 May 2021 at 10 a.m. The notice convening the General Meeting is incorporated in this document. At the 2020 Annual General Meeting, the Directors were authorised to allot 20 million Ordinary Shares on a non-pre-emptive basis. Since the 2020 Annual General Meeting, the Company has allotted 16,650,000 Ordinary Shares and, as a consequence, the Directors do not have sufficient authority to grant the Warrants. The Company is therefore proposing to seek specific authorities to grant the Warrants at the General Meeting. The Directors intend to propose resolutions to renew the general authorities at the 2021 Annual General Meeting. Resolution 1 provides the Company with authority to grant the Warrants and Resolution 2 disapplies the statutory pre-emption rights applicable to those Warrants. Resolution 1 will be proposed as an ordinary resolution requiring a majority of votes cast at the General Meeting to be in favour of it in order for it to be passed. Resolution 2 will be proposed as a special resolution requiring 75% of the votes cast at the General Meeting to be in favour of it for it to be passed. Shareholders should note that the Resolutions in relation to the Warrants to be proposed at the General Meeting are inter-conditional and if any one of them is not passed the Warrant Placing will not be completed. Fratelli Investments Limited, which holds shares representing approximately 25.5% of the Existing Ordinary Shares has irrevocably undertaken to vote in favour of the Resolutions. Greenstone Resources II LP, which holds shares representing approximately 25.2% of the Existing Ordinary Shares has irrevocably undertaken to vote in favour of the Resolutions. Coronavirus (Covid-19) The Board continues to closely monitor developments in relation to the Covid-19 pandemic and the health and wellbeing of the Company’s shareholders and employees continue to remain of paramount importance. As a result of the UK Government’s current guidance on social distancing and the prohibition on public gatherings due to the Covid-19 pandemic, it is expected that shareholders will not be permitted to attend the General Meeting. The General Meeting will be convened in accordance with the Company’s Articles of Association and in line with the UK Government guidance. The Company will make arrangements such that the legal requirements to hold the General Meeting can be satisfied through the attendance of a minimum number of people who are essential for the business of the General Meeting, and the format of the General Meeting will be purely functional. Having regard to their own safety and that of others, the Board respectfully requests that, if these restrictions remain in place at the time of the General Meeting (as they are expected to), shareholders comply with the UK Government’s current guidance and do not make plans to attend the General Meeting. To ensure the safety of the limited number of people whose attendance at the General Meeting is essential, we will not be able to allow any other Shareholders to gain access to the General Meeting on the day. If it becomes possible to admit Shareholders to the General Meeting, we will make an announcement on our website (www.serabigold.com) and via a Regulatory Information Service. To ensure that Shareholders’ votes are counted, the Board strongly encourages all Shareholders to exercise their right to vote by appointing the Chairman of the General Meeting as their proxy to vote at the General Meeting on their behalf, in accordance with their instructions. Shareholders should not appoint any person other than the Chairman of the General Meeting to act as their proxy, as that person will likely not be granted access to the General Meeting on the day and their appointing shareholder’s votes will not be able to be counted. Shareholders are encouraged to submit their proxy forms or voting instructions online following the details set out in the Proxy Instructions that accompanies this Circular. Alternatively, Shareholders can return their proxy forms or voting instructions by post following the instructions provided in this Circular. Proxy appointments or voting instructions should be received as soon as possible and must be received by no later than 10:00 am (London time) on 20 May 2021 in order to be valid. Despite these necessary changes to the format of the General Meeting, the Board wants to ensure that shareholders have an opportunity to engage with the Company and the Board. Shareholders are encouraged to submit questions in advance of the General Meeting, by emailing EGM2021@serabigold.com and including “EGM 2021” in the subject line. We will endeavour to answer these questions on the Company's website prior to the General Meeting. It is not the intention at this time to arrange a formal Q&A webinar to coincide with the General Meeting. The health of our shareholders and colleagues remains our priority and the steps set out above are necessary to ensure their well-being during the Covid-19 pandemic. Action to be taken by Shareholders A Form of Proxy for use by Shareholders at the General Meeting accompanies this document. To be valid, Forms of Proxy must be completed and returned so as to be received at either the offices of the Company's UK Registrar, Computershare Investor Services Plc, The Pavilions, Bridgwater Road, Bristol, BS99 6ZZ or the offices of the Company's Canadian Registrar, Computershare Investor Services Inc., 100 University Avenue, 8th Floor, Toronto, Ontario M5J 2Y1 by not later than 10 a.m. (London time) (5 am Eastern time) on 20 May 2021. Alternatively, Shareholders can submit their Proxy to Computershare UK through CREST by not later than not later than 10 a.m. (London time) on 20 May 2021 in accordance with the procedures set out in the Form of Proxy. The Board strongly encourages all Shareholders to exercise their right to vote by appointing the Chairman of the General Meeting as their proxy to vote at the General Meeting on their behalf, in accordance with their instructions. Shareholders should not appoint any person other than the Chairman of the General Meeting to act as their proxy, as that person will likely not be granted access to the General Meeting on the day and their appointing Shareholder’s votes will not be able to be counted. Completion and return of a Form of Proxy will not ordinarily prevent Shareholders from attending and voting in person at the General Meeting should they so wish. However, as set out above, the General Meeting will likely be held as a closed meeting and Shareholders will not be permitted to attend due to the Covid-19 restrictions. Beneficial Shareholders should note that only registered Shareholders or their duly authorised proxy holders are entitled to vote at the General Meeting. Each Beneficial Shareholder should ensure that their voting instructions are communicated to the appropriate person well in advance of the General Meeting. Further details of the restrictions and steps to be taken with respect to voting are set out in the Notice and Management Information Circular contained in this document. Recommendation and importance of vote Shareholders should be aware that, if the Resolutions are not approved at the General Meeting, the net proceeds of the Warrant Placing will not be received by the Company. The Directors consider that the Resolutions set out in the Notice and being put to the General Meeting are in the best interests of the Company and its Shareholders and are most likely to promote the success of the Company for the benefit of the Shareholders as a whole. Accordingly, the Directors unanimously recommend that Shareholders vote in favour of the proposed Resolutions as they intend to do in respect of their own holdings, where relevant, amounting to an aggregate of 1,262,345 Ordinary Shares, representing approximately 1.67% of the Company's Existing Ordinary Shares. Yours faithfully (Signed) “Nicolas Bañados" Nicolas Bañados Non-executive Chairman ENDS