Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
As a result of weak financial market conditions, Nautilus Minerals (TSX:NUS)(AIM:NUS) has decided to withdraw its proposed capital raising.
Despite a positive response from investors during marketing of the proposed transaction over the past two weeks, adverse market conditions had meant that it was not in the interests of shareholders for the transaction to proceed.
Chief Executive Steve Rogers said Nautilus had a cash balance of $139 million at March 31, and no debt.
“While it is disappointing to withdraw the capital raising, we did not believe shareholders would be best served by issuing stock in the current market conditions. We have a strong cash position and a range of alternative options available to access capital in the future.
“Nautilus continues to advance its first project at Solwara 1 in the Bismarck Sea of Papua New Guinea,” he said.
Nautilus will be releasing its first quarter financial results early next week.
About Nautilus Minerals Inc.
Nautilus is the first company to commercially explore the ocean floor for polymetallic seafloor massive sulphide deposits and is currently developing its first project at Solwara 1, in the territorial waters of Papua New Guinea in the western Pacific Ocean. Nautilus is listed on the TSX and AIM stock exchanges, and has among its largest shareholders two of the world’s leading international resource companies Anglo American (11.1%) and Teck Resources (6.8%), as well as Metalloinvest, one of the largest and fastest growing mining and metallurgical holding companies in Russia, which beneficially owns 21.0% of the Company’s issued shares through Gazmetall Holding (Cyprus) Limited.
Read the full news release here.
