Lanstead Investees Experiencing Gains

Companies in which Lanstead Investors is invested are experiencing some upward momentum, according to several reports. Lanstead Investors is an international investment firm that provides equity capital to listed companies on the London Stock Exchange, Australian Stock Exchange and other national markets.

Several of the companies it has invested in, including Amur Minerals Corporation (AIM:AMC), are basking in positive performance results. Amur Minerals was recently awarded its mining license from the Russian government, and the recent development sent the company’s share prices rising.

Now, Amur is the best performing mining company on AIM for the past 12 months. Amur Minerals had been waiting for this license approval for the past decade. The company owns the world-class nickel and copper Kun-Manie project in the Amur Oblast region that could produce as much as 67 million tonnes containing nickel and copper.

Lanstead has been a key shareholder of the nickel and copper-based mine for five years, during which Amur has achieved several milestones. Lanstead helped Amur’s ongoing growth cash expenses through funding five placings, each backed by a sharing agreement which allows the company to receive additional funds without share issuance. Amur’s share price has appreciated by 600 percent.

Another company which Lanstead has bought into is AFC Energy PLC (LSE:AFC). Lanstead was a part of AFC Energy’s placing in October 2014, with the company’s share price rising fivefold since Lanstead’s involvement. AFC Energy sold 22 million shares to Lanstead at 10 pence per share.

Blackham Resources (ASX:BLK), a company that calls itself as a “progressive mining company,” also welcomed Lanstead as one of its investors. The company completed a fund raising amounting to US$3.6 million [$4.7 million] following an equity swap agreement for US$1.4 million worth of shares with Lanstead. Lanstead will now subscribe for 7,843,137 new shares at US$0.1875 each in 18 monthly settlement tranches. This overturn adds to the existing US$2.2 million placement of 10.5 million shares priced at US$0.21 each, and is expected to fund Blackham’s promising Matilda Gold Project in Western Australia.

Blackham’s main deposit, the Matilda Gold Project, incorporates over 780 square kilometres of tenements including the Regent, Matilda and Williamson Gold Mines that contain a total of 44 million tonnes at 3.3 precious metal content (g/t) for 4.7 million ounces of gold. These tenements cover 45 kilometres of strike along the Wiluna Mine Sequence and 10 kilometres of strike along the Coles Find Sequence. These sequences have proven to be huge sources of gold, producing 4 million ounces of gold in the past. Blackham has showed great results from its Galaxy Deposit from the Matilda Gold Project, including the best drill intercept of 9 metres at 13.4 grams per ton gold. The company’s Wiluna mine has approximately 16.7 million tonnes at 5.3 g/t gold for 2.8 million ounces.

As a sign of enthusiasm, Lanstead investee companies received more than £1 million [$2 million] in additional funds through the sharing agreements, and without additional shares being issued. This benefits all companies and all other shareholders, including Lanstead.

“We are very pleased to see the continued positive share price performances of a number of our investee companies over the last few months, creating value for the companies, investors and for Lanstead as a shareholder. A placing participation by Lanstead, coupled with a sharing agreement, is a demonstrable way for growing companies to access additional funds as their share price appreciates without issuing further equity,” said Nicholas Malins-Smith, Director of Lanstead.

Contact the writer: a.lu@ibtimes.com.au