Teknomining Plc
LSE : TEKP

January 29, 2013 06:13 ET

Funding Received

                                                                                  29 January 2013
                                                   
                                            Teknomining Plc

                                   ("Teknomining" or "the Company")
                                                   
                                                   
                                           Funding Received

The  Directors  of Teknomining Plc are pleased to announce that the Company has secured funds  through
the execution of a loan agreement to the value of GBP 100,000 ("Loan Agreement"). The key features  of
the loan agreement are as follows:

     *    The initial amount of drawdown is GBP 33,333.33, receivable immediately. The Company will be
          entitled to two further drawdowns of GBP 33,333.33 in February and March 2013, subject to certain
          conditions.
     
     *    The loan is repayable (including interest) in full by the Company in two tranches, 50% by 20th
          November 2014 and 50% by 20th December 2014.

     *    Interest will be charged to the Company on the loan at a rate of 20% per annum compounded
          monthly from the initial drawdown date.

     *    The loan provider has been issued with Warrants to subscribe for 600,000 Ordinary Shares in
          the Company at a price of GBP 0.15 per Ordinary Share. The warrants shall be exercisable by the loan
          provider or its agents at any time from the initial drawdown date subsequent to the drawdown of the
          second tranche in March 2013 up to and including 31st December 2015. Thereafter the warrants shall
          lapse if not exercised.

     *    In the event of default the loan note provider is entitled to convert all or any part of the
          loan and interest outstanding on the default date into ordinary shares in the Company at a price to be
          determined following delivery of a notification ("Conversion Notice")  to the company, as follows:

              o At the current market price at the date of the Conversion Notice, or
              o At the price of GBP 0.15 per ordinary share.

     *    It is anticipated that the funds will be available for working capital and project development
          purposes.

The directors of the issuer accept responsibility for this announcement.


Contact Details:

Teknomining Plc
Sean Finlay, Chairman
Phone: +353 1 4959276
Email: sean.finlay@teknomining.com
Website: www.teknomining.com

LHM Casey McGrath
Con Casey, Corporate Adviser
Phone: +353 1 495 9200
Email: con.casey@lhmcaseymcgrath.ie

Contact Information

  • Teknomining Plc