• Conditions to Rights Issue completed, allotment to occur shortly
  • Company to apply for Re-quotation of Company's Securities on August 13, 2013
  • US$10M Offtake Agreement with Powerline Value Fund now Unconditional
  • Crushing at Texas Silver Mine recommences


Alcyone Resources (ASX: AYN) ("Alcyone" or the "Company") is pleased to announce that all of the conditions to the Rights Issue have been completed and that the Company will today apply to the ASX to have the Company's securities will re-quoted on the Australian Securities Exchange.

Funding Update
As announced to the market on 9 August, 2013 the Company received $7.4M under the Rights Issue and Shortfall, exceeding the $6M minimum. In addition, further to the announcement of 6 June, 2013, the Company entered into a US$10M silver purchase agreement with the Powerline Value Fund. The Company is pleased to advise that access to funding under this Silver Purchase Agreement is now unconditional and the Company has 45 days within which to start accessing funding under this Agreement in its sole discretion. The Company's decision to access funds under the Powerline Facility will be dependent in part on the completion of the Preciosa Metal Streaming transaction, the deadline for completion of which has been extended from COB August 9 to COB August 13.

Operations Update
The Company has now initiated site works for the installation of the new crushing plant at the Texas Silver mine. As previously announced the upgrades to the crusher will bring the crushing capacity of the mine up to the nameplate capacity of 1.1 million ounces per year. The Company has successfully crushed approximately 20,000 tonnes in the previous week and anticipates that silver production will recommence shortly. The Company is well positioned to benefit from the recent rally in silver prices, with prices having risen by more than 14% since the end of June and trading yesterday at AUD$23. The Company is confident that with a sustained rally in silver prices, it will achieve its forecast earnings.

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