Tungsten West Proceeds with Stock Trading and Plots Restart of Mining

Tungsten West Plc, which owns the vast Hemerdon tungsten mine in Plymouth, has already started stock trading on the London Stock Exchange and said the cash raised will enable it to plan a full restart of mining.

Tungsten West Plc began stock trading on the Alternative Investment Market (AIM) of the stock exchange at 8 am on October 21. The initial public offering (IPO) saw 177,071,571 voting ordinary shares listed and traded at a par value of 1 pence per share. Within two hours, the investor research website Proactive reported that its stock price reached 61.4 pence.

Western Tungsten has previously stated that the initial public offering will bring the company a net income of 39 million pounds and a business value of 106.2 million pounds. It has raised £36 million from other investors, which means it is expected to have enough cash to start full tungsten and tin production in the mining area on the edge of Plymouth.

Max Denning, CEO of Western Tungsten, said: "This is a milestone for our company. We have entered the final stage of Hemerdon mine development and look forward to restarting production."

"The Hemerdon mine is the third largest tungsten resource in the world and will produce strategically significant materials that are critical to the manufacture of new technologies, including those that will help the UK achieve its net zero emissions goal. It is for this reason. The mine is a huge strategic project for the United Kingdom and the Western Hemisphere."

"We are very happy to welcome new investors and stakeholders to join the company, and look forward to providing the market with exciting new information from this website in due course."

Western Tungsten is the 100% owner and operator of the previously produced Hemerdon tungsten tin mine. After its nearest operator, Wolf Minerals, ceased production in 2018, the company bought the right to take over the mine for 2.8 million pounds in 2019. During his tenure as an operator, Wolf has invested more than 170 million pounds in the development of the site, including important infrastructure and processing facilities.

Western Tungsten is now focusing on updating the existing infrastructure and restarting the Hemerdon mine at a lower cost in the short term. After the restart, Hemerdon is expected to produce large amounts of tungsten and tin, both of which have important strategic significance, especially in the development of new technologies.

Western Tungsten Industry Co., Ltd. has previously stated that full-scale production can be achieved as soon as the end of 2022. There are currently about 50 employees in the Hemerdon mine, but it is expected that this number will rise to about 300 once full production is achieved.

At the same time, Durham-based Hargreaves Services Plc is a diversified group that provides services to the industrial and property sectors. It will receive 8 million pounds in revenue after the listing of the company's AIM. The company signed an exclusive mining services agreement with Drakelands Restoration Ltd (DRL), a subsidiary of Tungsten West.

One aspect of the agreement is that DRL shall pay Hargreaves £1 million on November 29, 2021, regardless of whether there is any mining activity on site, and pay the same amount annually for the following 7 years.

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