Zenith Minerals (ASX:ZNC) is pleased to advise that Bradda Head Holdings Ltd (“Bradda Head”), a North America-focused lithium development group, has been admitted to trading on the AIM of the London Stock Exchange.
Zenith holds 15% of the issued capital of Bradda Head, which recently raised £6.2 million through the placement of new ordinary shares at 5.5 pence to fund the phased exploration work programs across its lithium projects, located in the USA.
Based on the closing price of 5.75 pence (A$0.107), at the close of the first day of trading on AIM, the market capitalisation of Bradda Head is £16.9 million, valuing Zenith’s investment in Bradda Head (43,947,507 ordinary shares*) at $A4.7M.
About Bradda Head
Bradda Head’s strategy is to develop US based lithium projects to supply the domestic North American green energy market, Its assets are in the US states of Nevada and Arizona. These jurisdictions are ranked both 1st and 2nd in relation to investment attractiveness based upon the Fraser Institute 2020 Annual survey.
Bradda Head have stated that over the forthcoming 18 months it intends to advance its exploration program allocating approximately US$ 5.4 million to the portfolio. This work is intended to build upon existing drilling, sampling and metallurgical test work over the portfolio.
Three projects are planned to be allocated the majority of this spend.
- Wikieup (100%) located in Arizona – will encompass a phase of 30 drill holes, potential resource estimate and metallurgical testwork, spend estimate US$1.6 million
- Burro Creek East (100%) located in Arizona – will encompass a phase of drilling (10 holes), potential update to the existing JORC resource and metallurgical testwork, spend estimate US$ 0.3 million
- Burro Creek West (100%) located in Arizona – will encompass permitting, drilling (10 holes), preliminary metallurgical testwork and following that potential for a maiden JORC resource, spend estimate US$ 0.6m
Commenting on the Bradda Head AIM listing, Chairman Peter Bird said:
“we are very pleased that Bradda Head has successfully listed as it provides a definitive valuation for this pure commodity play company, something investors often prefer. Charles FitzRoy and his Bradda Head team have done a great job to execute the admission into AIM.
“Alternative energy commodities such as lithium should feature prominently in the coming years and a US based potential domestic feed source is a very real opportunity for Bradda Head. We will watch developments at Bradda Head with great supporting interest as we forge ahead with our key activities in the Australian base and precious metals space.”