JOHANNESBURG (miningweekly.com) – ASX-listed junior RMG has entered into a share subscription agreement with cornerstone investor Epoch Bliss to raise $2-million, before expenses, to fund ongoing activities at RMG’s Chile-based Tuina copper project and to review other potential opportunities within the resources sector.
The agreement, through which Epoch would subscribe to about 222-million shares at 0.9c a share, would make Epoch RMG’s largest shareholder, with about 52.5% of the company’s issued capital.
Epoch is a mining investment company incorporated in the Seychelles that intends to work in close collaboration with the HuaHui Mining Group – a company that has been involved in several gold, copper and iron-ore projects in China.
Epoch chose RMG as its platform to facilitate further investment in the Australian resources market.
On completion of the share subscription agreement, three Epoch representatives would join the RMG board, including nonexecutive chair Kinpo Yu, executive director Chris Dai, and nonexecutive director Dr John Chen.
RMG directors Rhett Evans and Michael Griffith agreed to step down, while Robert Kirtlan would remain on the board as executive director.
RMG had commissioned an independent report expert to ascertain whether the transaction was fair and reasonable to RMG shareholders.