(MENAFN- ProactiveInvestors - Australia) Noble Mineral Resources (ASX: NMG) has reaffirmed its support for Chinese private investment group Zhongrun's proposed A$84.7 million funding initiative, saying it remains superior to an alternative offer from Resolute Mining (ASX: RSG).
Resolute had tweaked its A$85 million to include a US$15 million unsecured short term debt facility in response to Noble's concern that its offer had a lack of immediate funding certainty.
Howevr, Noble said the changes did not address its concerns and also rejected suggestions that it had failed to engage.
It also urged shareholders to vote in favour of the Zhongrun transaction to secure the funding it urgently needed to maintain ongoing operations and meet current liabilities.
Funds raised will be used to accelerate Bibiani Project's ramp-up to reach Noble's production target of more than 150,000 ounces per annum to meet existing liabilities and grow the company's resource base.
Zhongrun is subscribing for new shares in Noble that will make it the company's largest shareholder, with 41.5%, following completion of both placement tranches.
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