MessinaPlatinum Rights Offer Concludes

 

    Minority Shareholders contribute US$8.5 million to the Company

    Shares Issued and Outstanding: 61,674,459

    TSX: SUF

    AIM: SRE

 

    TORONTO, Oct. 14 /CNW/ - SouthernEra Resources Limited today reported on

the results of the rights offer at the Company's subsidiary Messina Limited,

which concluded last Friday, October 10.

    In a strong show of support, 94 percent of the shareholders in Messina

Limited subscribed to the shares offered under the rights issue. In

subscribing for rights, Messina's minority shareholders have contributed

approximately US$8.5 million to Messina Limited. The proceeds of this rights

offer are to be used principally to reduce Messina's unsecured debt

obligations to SouthernEra thereby strengthening the Company's balance sheet.

As underwriter of the rights offer, SouthernEra has taken up the Messina

shares not subscribed to, which increases its interest in Messina Limited to

73 percent.

    Commenting on the rights offer, SouthernEra President and CEO, Patrick

Evans, said: "We welcome this vote of confidence on the part of Messina's

minority shareholders. This reflects a high level of confidence in the long-

term future of the Messina Platinum Project, despite the short-term challenge

posed by the unusual strength of the South African Rand, which is Messina's

operating currency. This support is particularly welcome at a time when

consideration is being given to the expanded development of the Greater

Messina resource."

 

    SouthernEra Resources Limited is an independent producer of platinum

group metals (PGMs) and diamonds. The Company also has an extensive PGM and

diamond exploration program. The common shares of SouthernEra are traded on

the TorontoStock Exchange (SUF) and the LondonStock Exchange's AIM (SRE).

 

   

    For further information: SouthernEra Resources Limited - Dr. Sally Eyre,

Vice President Corporate Affairs, Telephone: (416) 359-9282,

Fax: (416) 359-9141, E-mail: inbox(at)southernera.com, www.southernera.com

    (SUF. SRE)

 

 

 

 

 



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