Mla Mining to raise P683 M via stock rights

MANILA, Philippines - Listed Manila Mining Corp. is raising P683 million in new capital through a stock rights offer to fund further exploration work, settle debts and raise working capital.

In a disclosure with the local bourse, the company announced that the Philippine Stock Exchange (PSE) board approved last April 30 the listing a total of 56, 926, 927, 347 shares.

From June 16 to June 20, the company would offer to existing shareholders one share for every 3.56 shares held as of May 22, 2014.

The new shares would be sold at P0. 12 apiece.

Manila Mining assistant corporate secretary Odette Javier said the proceeds would be used to fund a two-year expenditure program that includes a drilling program in the company’s copper-gold project in Placer, Surigao del Norte, where it used to produce gold bullions.

The rest of the funds raised would be used to settle accounts with suppliers, service providers and other debts.

Manila Mining, an affiliate of Lepanto Consolidated Mining Co., holds three Mineral Production Sharing Agreements (MPSA) covering Surigao del Norte and Agusan del Norte.

Manila Mining’s subsidiary Kalaya-an Copper-Gold Resources, Inc. operates the Kalaya-an copper-gold project in Surigao del Norte which is in the exploration phase.

As of December 2012, the company has not been offering any products or services as operations are currently suspended.

The company’s current activities are focused on exploration and ore delineation to improve its gold inventory.