HomeCentral AfricaPangea seeking R100 million for African projects

Pangea seeking R100 million for African projects

Pan plant,
Pangea’s Dimbi
alluvial diamond project,
London, England — MININGREVIEW.COM — January 17, 2008- – Pangea Diamondfields plc – an AIM-listed mid-tier diamond producer and exploration company with a portfolio of promising African projects – is going to the market to seek funds to advance its portfolio of developing projects in central and southern Africa.

The company announced here yesterday that it had appointed a syndicate of agents led by RBC
Capital Markets to handle a marketed private placement of new ordinary shares in the company with a value of up to C$15.0 million (almost R100 million).

Pangea has made such significant progress this year that it plans to up-scale its main alluvial diamond projects in central and southern Africa in 2008. In a recent exclusive interview with Mining Review Africa CEO Rob Still reported excellent results in the Central African Republic (CAR), improved production levels and sales values in Angola, satisfying momentum in the Democratic Republic of Congo (DRC), and encouraging early results in South Africa.

“This period has been one of significant progress for PDF,” he added, “and in the period ahead to Q3 of 2008 we intend progressing the evaluation of these projects and making commercial mining go-ahead decisions which will result in targeted combined monthly production of 15 to 20 000 carats.”

This week’s Pangea statement explains that the net proceeds from the private placement would be used to advance the company’s ten projects in the CAR, the DRC, Angola and South Africa, as well as for general corporate purposes. One of these projects has advanced to pilot mining and three to bulk sampling, and the target is to have six at the bulk sampling stage or more advanced by the end of Q1 2008.

“It is anticipated,” the Pangea announcement continues, “that the offering will be priced in the week commencing 21 January 2008, and will close on or about the week commencing 4 February 2008.

Caption, Pic 1: The pan plant at Pangea’s Dimbi alluvial diamond project in the C.A.R.