Appian Natural Resources Fund

Appian Natural Resources Fund

December 14, 2016 09:53 ET

Appian Announces Acquisition of Shares of Harte Gold Corp.

JERSEY, CHANNEL ISLANDS--(Marketwired - Dec. 14, 2016) - Appian Natural Resources Fund, L.P. and Appian Natural Resources (UST) Fund, L.P. (together, "Appian") have acquired an aggregate of 71,794,871 common shares of Harte Gold Corp. ("Harte"). On November 23, 2016, ANR Investments B.V. ("ANR"), an indirect wholly owned subsidiary of Appian, entered into a subscription agreement with Harte pursuant to which ANR agreed to subscribe for 33,333,333 common shares of Harte at a price of $0.30 per common share for an aggregate subscription price of $10,000,000. On December 14, 2016 following the completion of Harte's previously announced offering of flow-through shares, ANR entered into purchase agreements with various shareholders of Harte pursuant to which ANR agreed to purchase 38,461,538 common shares of Harte at a price of $0.30 per common share for an aggregate purchase price of $11,538,461.40.

Following completion of the foregoing transactions on December 14, 2016, Appian owns and has control and direction over an aggregate of 71,794,871 common shares of Harte representing approximately 16.8% of the issued and outstanding common shares of Harte.

ANR is entitled to nominate one director to the board of directors of Harte on completion. Harte and ANR will establish a Technical Committee to collaborate on technical and strategic decisions in relation to Harte's Sugar Zone property. The Technical Committee will consist of two members from Harte and two members from ANR. Following Harte's completion of one or more equity financings where the aggregate gross proceeds from such equity financings, cumulatively, are equal to or greater than $15 million, ANR will be entitled to nominate a second director to the board of directors of Harte.

Appian has agreed to acquire the common shares for investment purposes. Appian has a long-term view of the investment. Appian intends to increase its shareholding in Harte up to 19.9% of the issued and outstanding Common Shares of Harte. Such acquisitions may be made in the open market, by private agreement or otherwise and may occur prior to closing or thereafter. Depending on the development of Harte's business, financial condition, the market for Harte's securities, general economic conditions and other factors, and subject to certain agreed standstill and other restrictions on sale, the acquiror may acquire additional securities of Harte, or sell all or some of the securities it holds, in the open market, by private agreement or otherwise.

About Appian Natural Resources Fund

Appian is a metals and mining private equity fund formed under the laws of Jersey, Channel Islands providing long-term capital to both private and public mining companies. The advisor to Appian, Appian Capital Advisory LLP (the "Advisor"), is headquartered in London, with an international network in key mining cities. The Advisor has a senior management team that is a combination of professionals from major mining companies, private equity firms and investment banks, bringing together over 150 years of combined mining experience. In aggregate they have managed in excess of 60 mines through to production and concluded over $200 billion worth of mining sector transactions. With a successful track record of value creation across the full mining life cycle, the Advisor's team's strong operating and corporate skills are available to support management teams to optimise assets and ramp up operations that deliver value and generate attractive returns for all investors.

CONTACT

The head office of Harte is located at 8 King Street East, Suite 1800, Toronto, Ontario, Canada M5C 1B5. The common shares of Harte are listed on the Toronto Stock Exchange.

An early warning report will be filed by Appian in accordance with applicable securities laws and will be available under Harte's profile on the SEDAR website at www.sedar.com.

The head office of Appian is located at 47 Esplanade, St Helier, Jersey, Channel Islands JE1 0BD.

For more information, including to obtain a copy of the early warning report to which this press release relates, please contact Michael W. Scherb at the investment advisor to Appian:

Appian Capital Advisory LLP,
33 St James's Street, 5th Floor,
London, SW1A 1HD,
United Kingdom.
+44 (0) 207 004 0951

Contact Information

  • Appian Capital Advisory LLP
    33 St James's Street, 5th Floor
    London, SW1A 1HD
    United Kingdom
    +44 (0) 207 004 0951