AIM-listed Pembridge Resources, which was previously known as China Africa Resources, has reached out to investors to collaborate with as it looks to acquire mining companies that are struggling financially. The mining contractor hopes to pick up these assets across the world at rock-bottom prices.
Outlining the investment strategy
The mining company hopes to raise anywhere from £6 million up to £20 million through a range of investors, and is looking to acquire base and precious metals mining companies.
Pembridge Resources Chief Executive Officer David Linsley said that this is a wonderful opportunity for the mining contractor to bring in investors. There are several mining projects that do not have adequate financial resources and it is possible for Pembridge Resources to acquire these projects at attractive prices.
Pembridge Resources is looking to gain a majority stake in projects or forge a joint venture with the mine owners. If it opts for the latter, it will ensure that its own management team is in charge of the operations so that the mining company works in a more productive and cost-efficient manner.
Linsley added that Pembridge Resources has already shortlisted companies where it believes that it can add value to the existing operations. Pembridge Resources has a management team of highly qualified industry experts who boast experience at well-known mining companies such as Stillwater Mining, Vedanta Resources, Fortescue and Asarco.
Transforming mining projects and companies
The Pembridge Resources management team will be at the forefront of the fundraising endeavours. The team will be using its vast experience to revamp mining projects that are still not well-known.
At the moment, Pembridge Resources is focusing on acquiring two gold mining projects, but the mining contractor will also look to acquire other mining companies and projects in friendly jurisdictions such as Europe, North America, sub-Saharan Africa and South America, revealed Linsley.