European law firm Fieldfisher has advised TSX-V-listed Cornish Metals Inc. on an oversubscribed £8.2 million equity fundraising from UK investors, a refinancing of a loan from Osisko Gold Royalties and its admission to trading on London's AIM market, clearing the way for the company to develop copper and tin projects in Cornwall, southwest UK.The £8.2 million of funds were raised from new and existing institutional and high net worth investors during an extremely busy two-week virtual roadshow, which demonstrated significant enthusiasm among British investors for an opportunity to support the return of strategic mineral production to the UK.
Cornish Metals' core projects are the United Downs underground copper-tin exploration project and the South Crofty tin project, which are located in the west of Cornwall.
In conjunction with the fundraising, C$7.17 million of loan notes held by Canada's Osisko Gold Royalties will be redeemed and a significant proportion of the group's security released in exchange for two perpetual net smelter royalties (NSR) granted to Osisko for mineral products produced from South Crofty and United Downs.
The new funding raised by Cornish Metals will be used to fast-track a drilling exploration programme at United Downs to define a mineral resource. Its longer-term plan is to bring the South Crofty tin mine back into production.
The company intends to produce conflict-free “clean tin” to provide security of supply for Europe and North America. The project will also have a positive impact on the local Cornish environment through brownfield land redevelopment and water quality improvements.
Fieldfisher has been advising Cornish Metals (previously Strongbow Exploration) for three years, during which time our mining and metals team has supported the company in obtaining the necessary funding, approvals and profile to achieve its objective of a London listing.
Cornish Minerals' shares were admitted to trading on AIM today (16 February).
Commenting on the successful fundraising, Fieldfisher's Head of Mining and Metals, Jonathan Brooks, said:
"We are absolutely delighted to have assisted Cornish Metals in achieving this crucial milestone in its journey to bring copper and tin mining back to Cornwall.
"The last year has seen a decisive shift in sentiment among investors and the public in favour of supporting projects that contribute to sustainability objectives, as well as providing long-term benefits to local communities in areas where mines are located.
"Both copper and tin have a role to play in 'green' technologies such as batteries that will support the transition to a lower-emissions global economy and help achieve international climate goals.
"Sourcing these metals from responsible producers is also high on the ESG agenda for manufacturers and consumers."
Fieldfisher is a European law firm with market leading practices in many of the world's most dynamic sectors.
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