InterGroup Mining Limited is pleased to announce that it has signed an agreement with GEM Global Yield LLC SCS, the Luxembourg-based private alternative investment group, to provide the Company with up to £50 million over a 36-month term following a public listing of InterGroup's common stock.
InterGroup will control the timing and maximum amount of drawdowns under the Facility and has no minimum drawdown obligation. Concurrent with the public listing, InterGroup will issue warrants to GEM to purchase up to 7.8% of the Company’s common stock. In consideration for the Facility, the Company has agreed to pay a fee of £1 million in either cash or shares within a period of twelve months from the date of its listing. The Company may choose to deduct the amount of the fee from the proceeds of the drawdowns.
InterGroup is an Australian mining company focused on exploring and extracting minerals essential to reducing carbon emissions. Its current focus is on developing a major co-mining opportunity of high-quality kaolin and gold in NE Queensland, Australia.
According to industry studies, high quality kaolin, when processed into metakaolin, can reduce carbon emissions in concrete production by up to 40%, in addition to improving its strength and flexibility. The cement and concrete industry currently accounts for some 8% of all CO2 emissions and 19% of industrial emissions.
High quality kaolin is also recognised as a commercially viable, lower-cost core feedstock mineral for producing HPA – a base material in the manufacture of energy efficient light emitting diodes (LEDs), artificial sapphire glass (i.e. mobile phone and television screens) and certain battery and power storage components. The applications in concrete and HPA production are in addition to kaolin’s existing markets in medical applications, ceramics and paper.
This is GEM’s second investment in the resource sector in Australia since its $AU 80m investment in FYI Resources.
InterGroup will use the funds primarily for the ongoing development and commercialisation of its flagship Brilliant Brumby project in NE Queensland, Australia.
Read the article online at: https://www.worldcement.com/europe-cis/05082021/intergroup-secures-50-million-share-subscription-facility-from-gem/
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