Buffalo Coal Corp. Announces Completion of Rights Offering

Buffalo Coal Corp. Announces Completion of Rights Offering

Buffalo Coal Corp. (TSXV: BUF) (JSE: BUC) (the "Company" or "Buffalo Coal") today announced the completion of the previously announced rights offering to its shareholders (the "Rights Offering"), subject to final approval of the TSX Venture Exchange (the "TSXV").

Buffalo Coal issued 315,135,452 common shares of the Company (each a "Common Share") at a price of CDN$0.01 per Common Share for rights exercised on the TSXV and 111,038 common shares at a price of R0.13396 per Common Share  for rights exercised on the JSE. The Company raised total gross proceeds of approximately CDN$3,152,535.63 (TSXV – CDN$3,151,354.52 and JSE – R14,874.65).

A total of 315,181,760 Common Shares were issued under the basic subscription privilege and an additional 64,730 Common Shares were issued under the additional subscription privilege. All of the Common Shares subscribed for under the additional subscription privilege have been allotted as the aggregate number of Common Shares subscribed for under the additional subscription privilege was less than the number of Common Shares available thereunder. As of the closing date, 736,599,086 Common Shares of Buffalo Coal are issued and outstanding. No fees or commissions were paid in connection with the distribution. To the knowledge of the Company, after reasonable inquiry, no person that was not an insider of Buffalo Coal became an insider as a result of the distribution under the Rights Offering.

Further to the rights offering circular of the Company dated November 4, 2022 (the "Circular"), the Company confirms that Belvedere Resources DMCC ("Belvedere"), an insider by virtue of beneficial ownership of, or control or direction over, directly or indirectly, securities of the Company carrying more than 10% of the voting rights attached to all the Company's outstanding voting securities, acquired 314,994,080 Common Shares under its basic subscription privilege, and no Common Shares under its additional subscription privilege or pursuant to its standby commitment as a result of the application of the Subscription Limit (as defined in the Circular). Following closing of the Rights Offering, Belvedere owns 662,939,177 Common Shares of the Company, representing 90% of the total issued and outstanding common share of the Company.

The Company intends to use the net proceeds from the Rights Offering to settle its indebtedness to Investec Bank Limited and for general working capital purposes.

General

The Common Shares issuable upon exercise of the Rights have not been nor will be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold, as applicable, in the United States absent registration (which the Company has not sought) or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy the securities of the Company. There shall be no offer or sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the laws of any such jurisdiction.

About Buffalo Coal

Buffalo Coal is a coal producer in South Africa. It holds a majority interest in two operating mines through its 100% interest in Buffalo Coal Dundee Proprietary Limited, a South African company which has a 70% interest in Zinoju Coal Proprietary Limited ("Zinoju"). Zinoju holds a 100% interest in the Magdalena bituminous mine, the Aviemore East anthracite mine and the Balgray and North Adit anthracite projects in South Africa. Buffalo Coal has an experienced coal-focused Board and Management team.

The Company has its primary listing on the TSX Venture Exchange and has a secondary listing on the Alternative Exchange, operated by the JSE.

Forward-Looking Statements

This press release may contain forward-looking information within the meaning of applicable securities legislation, which reflects the Company's current expectations regarding future events. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. The Company does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

FOR FURTHER INFORMATION PLEASE CONTACT:

Ms. Emma Oosthuizen
Chief Financial Officer
Email: emma.oosthuizen@buffalocoal.co.za

Registered Office:
Greytown Road
Industrial Area, Dundee
KwaZulu-Natal, 3000

December29, 2022

Designated Advisor: Questco Corporate Advisory Proprietary Limited

7332545

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/149728

News Provided by Newsfile via QuoteMedia

BUF:CA
The Conversation (0)
Buffalo Coal Corp. Announces Special Meeting of Shareholders for Going Private Transaction

Buffalo Coal Corp. Announces Special Meeting of Shareholders for Going Private Transaction

Buffalo Coal Corp. (TSXV: BUF) (the "Company") today announces that it intends to seek shareholder approval for a proposal to take the Company private at a special meeting of shareholders ("Shareholders") to be held on Monday, April 17, 2023 at 10:00 a.m. (Toronto time) (the "Meeting").

The Company proposes to complete the going private transaction by way of a share consolidation and purchase (the "Consolidation") of all common shares ("Common Shares"), other than the Common Shares held by Belvedere Resources DMCC ("Belvedere"), for cash consideration of CAD$0.01 per pre-Consolidation Common Share, for Common Shares held on the TSX Venture Exchange ("TSXV"), or R0.1339580per pre-Consolidation Common Share, for Common Shares held on the Alternative Exchange maintained by JSE Limited ("JSE"). The consideration offered in connection with the Consolidation is equal to the subscription price under the Company's recently completed rights offering, which was greatly undersubscribed. Upon completion of the Consolidation and repurchase of the resulting fractional Common Shares, Belvedere is expected to be the sole Shareholder of the Company, which will then be delisted from the TSXV and JSE. The Company will subsequently apply to the relevant securities regulatory authorities to cease being a reporting issuer.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
Buffalo Coal Corp. Announces Secured Credit Facility

Buffalo Coal Corp. Announces Secured Credit Facility

Buffalo Coal Corp. (TSXV: BUF) (JSE: BUC) (the "Company") announced today that its wholly-owned subsidiary, Buffalo Coal Dundee Proprietary Limited ("BCD") has entered into and received approval from the South African Reserve Bank regarding a secured credit facility agreement dated November 7, 2022 and addendum to the facility agreement dated December 29, 2022 (as amended, the "Credit Agreement") with Ikwezi Mining FZE (the "Lender"), an affiliate of the Company's majority shareholder, Belvedere Resources DMCC ("Belvedere").

Pursuant to the Credit Agreement, the Lender will make a credit facility available to BCD in the aggregate principal amount of USD$30,000,000, which amount may be drawn in up to ten draws under the Credit Agreement (each such draw, a "Facility Advance"). Interest will accrue on each Facility Advance at a rate based on the base lending rate applicable in the United States of America, as prescribed by the South African Reserve Bank (7.5% as of January 20, 2023), and each Facility Advance will become due and payable three (3) years after the date such Facility Advance was advanced to BCD by the Lender. The Credit Agreement provides for a general charge against BCD's assets as security for the Facility Advances made thereunder, which may be prepaid by BCD on notice to the Lender in whole or in part without any penalties.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
Buffalo Coal Corp. Announces Final Discharge of Investec Loan

Buffalo Coal Corp. Announces Final Discharge of Investec Loan

Buffalo Coal Corp. (TSXV: BUF) (JSE: BUC) (the "Company" or "Buffalo Coal") today announced the final discharge of Buffalo Coal's loan facility with Investec Bank Limited ("Investec"). The Company settled the outstanding loan facility of R32,576,523 including interest along with a reduced royalty amount agreed to with Investec of R2,500,000. On January 13, 2023 Investec issued a final discharge notice confirming that all the indebtedness and obligations of the Company under the loan facility agreement have been irrevocably and unconditionally finally paid and discharged in full on January 12, 2023. Investec has commenced the process to cancel the securities that covered this loan facility.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
MANAGEMENT CHANGES

MANAGEMENT CHANGES

Buffalo Coal Corp.

TSX Venture: BUF

News Provided by Canada Newswire via QuoteMedia

Keep reading...Show less
Buffalo Coal Corp. Announces Amendments to Loan Facilities

Buffalo Coal Corp. Announces Amendments to Loan Facilities

Buffalo Coal Corp. (TSXV: BUF) (the "Company") announced today that the convertible loan facility (as amended from time to time, the ("Convertible Loan") with Belvedere Resources DMCC ("Belvedere") (assumed from Resource Capital Fund V L.P.) has been amended to remove the right of Belvedere, as lender, to convert amounts owing thereunder into shares in the capital of the corporation.

There is currently US$27,000,000 outstanding under the Convertible Loan, together with US$270,175 accrued and unpaid interest. The scheduled maturity date under the Convertible Loan is June 30, 2023. The material terms of the Convertible Loan are disclosed in the corporation's public disclosures which are filed on www.sedar.com.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
Apollo Minerals Limited

Exploration Update - Visible Gold Intersected at Salanie

Apollo Minerals Limited (ASX: AON) (‘Apollo Minerals’ or ‘the Company’) provides an update on its exploration activities at the Salanie Gold Project (“Salanie”) in Gabon and the Belgrade Copper Project in Serbia. The first round of drilling has now been completed at both projects. Visible gold has been intersected at the A1 Prospect at Salanie, an area that has not seen exploration or modern drilling in 70 years.

Keep reading...Show less
Metal Bank Limited

Wadi Al Junah VMS-Style Copper-Zinc-Gold-Silver Project in Saudi Arabia

Metal Bank Limited (ASX: MBK) (‘Metal Bank’, ‘MBK’ or the ‘Company’) is pleased to announce further details regarding the Wadi al Junah Copper-Zinc-Gold-Silver Project (‘Wadi al Junah’ or ‘the Project’), which has been awarded to Consolidated Mining Company (CMC) following a highly competitive Saudi government exploration licensing Round 6.

Keep reading...Show less
Octava Minerals Limited

Octava to Commence Drilling at Yallalong High-Grade Antimony Project

Octava Minerals Limited (ASX:OCT) (“Octava” or the “Company”), a Western Australia focused explorer of the new energy metals antimony, REE’s, Lithium and gold, is pleased to report that the drill rig is relocating to site at the Yallalong antimony project and will commence drilling this weekend. Drilling will focus on two antimony targets, Discovery and Central, with No.4 and North targets to be drilled in the new year.

Keep reading...Show less
Warriedar Resources

Targeted Exploration Focus Delivers an Additional 471koz or 99% Increase in Ounces, and a Higher Grade for Ricciardo

Warriedar Resources Limited (ASX: WA8) (Warriedar or the Company) is pleased to report on an updated MRE for its flagship Ricciardo Gold Deposit, part of the broader Golden Range Project located in the Murchison region of Western Australia.

Keep reading...Show less
Octava Minerals Limited

Octava Selects Drilling Contractor for its Yallalong Antimony Project in Western Australia

Australian mineral exploration company Octava Minerals (ASX:OCT) has selected the drilling contractor for the exploration work commencing at its 100-percent-owned Yallalong antimony project, according to an article by Business News - Australia. The deal will kick off the company’s 3,000-metre program focused on the Discovery target.

Keep reading...Show less
Australian flag with "economy" and "growth" blocks.

Western Australia Allocates AU$14 Million to Improving Environmental Approval Process

Western Australia's governmentsaid on Monday (November 11) that it is allotting AU$14 million to support the employment of additional staff at the Environmental Protection Authority (EPA) and the Office of the Appeals.

The boost comes in response to the Vogel-McFerran Review commissioned by the government in 2023. It recommended various steps to speed up the state's environmental approval system and secure major projects.

According to the government, employing additional staff will help address existing backlogs and provide faster decisions “without impacting the high standard for protecting WA's unique environment.”

Keep reading...Show less

Latest Press Releases

Related News

×