Proposed Share Consolidation
Released
Released
Announcement PDF
ASX ANNOUNCEMENT
26 May 2025
ASX: ADD
Proposed Share Consolidation
Adavale Resources Limited (ASX:ADD) (“Adavale” or the “Company”), an Australian junior explorer
focused on gold and copper in the Lachlan Fold Belt of New South Wales, hereby announces its
intention to undertake a consolidation of the issued capital of the Company on the basis that every 20
securities currently held be consolidated into 1 security at a ratio of 20:1 (“Consolidation”), subject to
receiving shareholder approval at a General Meeting scheduled to be held on 27 June 2025 (“General
Meeting”).
The Company currently has approximately 2,287,279,222 fully paid ordinary shares in the capital of the
Company (individually, a “Share”) on issue. If the Consolidation is approved at the General Meeting, the
Company anticipates that it will have approximately 114,363,961 Shares on issue (subject to rounding)
following completion of the Consolidation. The Company proposes to undertake the Consolidation for
the following reasons:
(a)
the current capital structure of the Company represents a relatively large number when
compared to its ASX-listed peer group; and
(b)
the Consolidation will result in a more appropriate and effective capital structure for the
Company and a share price more appealing to a wider range of investors, particularly
institutional investors.
If the Consolidation is approved, all options to acquire a Share (individually, an “Option”) and rights to
acquire a Share subject to the satisfaction of performance milestones (individually, a “Performance
Right”) currently on issue will be consolidated in the same ratio as Shares, and the respective exercise
prices of the Options and VWAP milestones for the Performance Rights will be amended in the inverse
proportion to that ratio (all in accordance with ASX Listing Rules 7.21 and 7.22.1).
Where the Consolidation would result in a fractional entitlement to a Share, Option or Performance
Right, that fractional entitlement will be rounded down to the nearest whole Share, Option or
Performance Right.
Furthermore, the Company does not anticipate that the Consolidation will result in a material change
to the aggregate value of each security holder’s holding (and the Company’s market capitalisation),
assuming no other market movements or impacts occur.
Adavale Resources Executive Chairman and CEO, Mr. Allan Ritchie, commented:
“The Adavale Board sees this share consolidation as an important and positive step in Adavale’s journey. It
reflects our commitment to delivering long-term shareholder value by improving the company’s capital
structure that better positions Adavale for future growth.
The Company continues to advance its Parkes Gold and Copper Project which includes the recently defined
maiden Mineral Resource Estimate of 107koz at 1.06g/t Au at the London-Victoria gold prospect. We look
forward to being able to commence resource extending drilling program to significantly increase the maiden
resource and delivering an Exploration Target in the near term.”
Directors & Officers
Adavaleresources
ALLAN RITCHIE
NIC MATICH
Executive Chairman & CEO
Non-Executive Director
AdavaleL
Investors@adavaleresources.com
DAVID WARD
LEONARD MATH
Non-Executive Director
CFO & Company Secretary
www.adavaleresources.com
+61 2 8003 6733
Adavale Resources Limited
Level 2, 49 Oxford Close
West Leederville, WA, 6007
\
The Consolidation will take effect in accordance with the following proposed timetable:
ACTION
DATE
Company announces Consolidation and releases Appendix 3A.3
Company sends out the Notice of General Meeting
Monday, 26 May 2025
Wednesday, 28 May 2025
Shareholders approve the Consolidation
Friday, 27 June 2025
Company announces effective date of Consolidation
Friday, 27 June 2025
Effective date of Consolidation
Friday, 27 June 2025
Last day for pre-Consolidation trading
Monday, 30 June 2025
Post-Consolidation trading commences on a deferred settlement basis
Tuesday, 1 July 2025
Record Date
Last day for the Company to register transfers on a pre-Consolidation basis
Wednesday, 2 July 2025
First day for the Company to update its register and send holding
statements to security holders reflecting the change in the number of
securities they hold
Thursday, 3 July 2025
Last day for the Company to update its register and to send holding
statements to security holders reflecting the change in the number of
securities they hold and to notify ASX that this has occurred
Wednesday, 9 July 2025
Further details on the Consolidation, including the information required to be provided to
shareholders of the Company under the Corporations Act 2001 (Cth) and the ASX Listing Rules will
be set out in a Notice of General Meeting.
This announcement is authorised for release by the Board of Adavale Resources Limited.
Further information:
Allan Ritchie
Executive Chairman and CEO
Adavale Resources
E: investor@adavaleresources.com
P: +61 2 8003 6733
Jane Morgan
Media and Investor Inquiries
Jane Morgan Management
E: jm@janemorganmanagement.com.au
P: +61(0) 405 555 618
Competent Persons Statement
Information on the Mineral Resource estimate at the London-Victoria Gold Project, together with JORC Table 1
information is contained in the ASX announcement dated 5 May 2025 titled “Maiden JORC Resource at London-Victoria
Project”. Where the Company refers to Mineral Resource estimate in this announcement (referencing previous releases
made to the ASX), it confirms that it is not aware of any new information or data that materially affects the information
included in that announcement and all material assumptions and technical parameters underpinning the Mineral
Resource estimate with that announcement continue to apply and have not materially changed. The Company confirms
that the form and context in which the Competent Persons findings are presented have not materially changed from the
original announcement.
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ABOUT ADAVALE RESOURCES
Exploring for Gold and Copper in the NSW Lachlan Fold Belt, Uranium in South Australia, and Nickel
Sulphide in Tanzania.
The Parkes Project
Adavale Resources Limited (ASX:ADD) holds a
72.5% interest in the Parkes Gold and Copper
Project, consisting of four granted exploration
licences that are highly prospective for Au-Cu,
primarily due to their location adjacent the
giant Northparkes copper-gold mine and
encompassing the Ordovician-aged rocks of
the Macquarie Arc, within the crustal-scale
structure of the Lachlan Transverse Zone (LTZ)
that contain both Northparkes and the worldclass Cadia gold-copper Mine. A JORC Inferred
Mineral Resource Estimate of 115koz Au
defined at the London-Victoria Gold Project.
Within this estimate there is a higher-grade
mineralised total of 3.14Mt at 1.06g/t Au for
107koz.
South Australian Uranium Portfolio
Adavale also holds seven granted exploration
licences that are prospective for their
sedimentary uranium potential within the
northern part of the highly- prospective
Northern outwash from the Flinders Ranges
in South Australia, as well as four exploration
licence east of Ceduna on the Eyre Peninsula
increasing Adavale’s uranium tenement
holdings to 4,959km2.
The Kabanga Jirani Nickel Project
Adavale also holds the Kabanga Jirani Nickel
Project, a portfolio of twelve highly
prospective granted licences along the
Karagwe-Ankolean belt in Tanzania. The nine
southernmost licences are proximal to the
world class Kabanga Nickel Deposit (87.6Mt @
2.63% Ni Eq). Adavale holds 100% of all
licences except for two licences that are
known as the Luhuma-Farm-in, which are held
at 65%, adding a further 99km2 and bringing
the portfolio to 1,315km2. Adavale’s licences
were selected based on their strong
geochemical and geophysical signatures from
the previous exploration undertaken by BHP.
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