Bass Metals raising $2 million to expand graphite production

2017-07-19

July 04, 2017 - Bass Metals Ltd has agreed to issue Convertible Notes (“the Notes”) to subscribers to raise $2m from predominantly existing major shareholders, directors, and management.

The Company is pleased to report strong demand and support from existing shareholders for the Notes which are issued on favorable terms to Bass.

This funding allows Bass to continue its well-structured and planned Graphmada Mine Capital Improvement Plan and to remain on track for completion later this year.

The company’s fully owned Graphmada Graphite Mine is located in Madagascar. The Graphmada mine has mining permits for 40 years in place, containing four premium quality, large flake, graphite deposits.

The producing mine is currently being upgraded to 6000 tonnes per annum. Bass is planning to expand production to greater than 20,000 tonnes per annum of graphite concentrate by late 2018.

Delivery of the Capital Improvement Plan will result in the Company’s production increasing significantly with strong resultant positive cash flow expected.

Directors and Management have subscribed for a significant portion of the Notes (subject to the necessary shareholder approvals).

The Note issue leaves the Company in a strong financial position at 30 June 2017 – approximately $3.2m in cash and receivables on hand.

Bass Metals Limited (the “Company”) is pleased to announce it has completed the issue of Convertible Notes to the value of $2m.