DJ Adriatic Metals Secures $102 Mln Equity Raise to Build Silver Project in Bosnia and Herzegovina

By Jaime Llinares Taboada

Adriatic Metals PLC said Wednesday that it has completed a $102 million equity financing, the largest for a London-listed mining company in 2021, to construct its Vares silver project in Bosnia and Herzegovina.

Adriatic will issue 25.2 million shares via a placing and 24.2 million via subscription by Orion Resource Partners at a price of 151.74 pence each, representing a 15% discount to the 178.50 pence closing price on Tuesday.

Shares at 0908 GMT were down 7.3% at 165.5 pence.

The $102 million equity raise is in addition to a $142.5 million debt financing package to be provided by Orion.

The project plan for Vares assumes initial capital expenditure of $168 million. Initially, Vares would focus on the Rupice deposit and would have a 10-year life-of-mine. Production is estimated to average around 15 million silver-equivalent ounces per year over the first five years, yielding annual Ebitda of $281.1 million.

Write to Jaime Llinares Taboada at jaime.llinares@wsj.com; @JaimeLlinaresT

(END) Dow Jones Newswires

October 13, 2021 05:14 ET (09:14 GMT)

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