Sirius Minerals raises £325.8m to finance next stage of polyhalite mine in North Yorkshire

Sirius Minerals said it has raised £325.8m to finance the next stage of its polyhalite mine in North Yorkshire.

By The Newsroom

Published 1st May 2019, 09:33 BST

Updated 1st May 2019, 09:55 BST

The Sirius Minerals Woodsmith site near Whitby showing the main and service shafts being excavated.

The placing is part of a £2,91bn financing plan, which includes a discounted share offering for the project.

The company will issue 1.97 million new shares at an issue price of 15 pence per new ordinary share, a discount of around 32 per cent to Tuesday’s closing price.

Placed shares represent around 28 per cent of company’s issued ordinary shares following admission on May 23.

Polyhalite can be used as a fertiliser and has other potential industrial applications. Sirius has already inked several deals for fertiliser supply to Europe, South America, China and Africa.

The financing will also consist of a revolving credit facility of up to £1.91bn, a £493m convertible bond issue and a £383m senior secured bond issue.