Bannerman Resources Limited (ASX: BMN; OTCQB: BNNLF, NSX: BMN) (Bannerman or the Company) is pleased to announce that it has received firm commitments to raise A$12 million gross proceeds through the placement of 114,285,716 new Bannerman shares at an issue price of A$0.105 per share (Placement).

HIGHLIGHTS

Bannerman receives firm commitments for A$12M capital raising Issue price of A$0.105 per share Placement of 114,285,716 new shares (9.6% of Company's expanded capital structure)

Cornerstone support from Tribeca Investment Partners, a specialist uranium investor and existing Bannerman shareholder

Further strong institutional demand from existing shareholders and new fund entrants

Funded to projected completion of both the current Etango-8 Pre-Feasibility Study and anticipated Definitive Feasibility Study

Pro-forma cash balance of approximately A$14M expected upon receipt of funds

Bannerman's Managing Director and Chief Executive Officer, Brandon Munro, said: 'The strong support from existing and new institutional investors evidences the quality of Bannerman's Etango-8 Uranium Project, and the transformational effect this streamlined development approach has had on the Company. I am grateful for the continued support of our existing shareholders, most notably Tribeca Investment Partners. I am also pleased to welcome a dozen new, high quality institutional investors onto the Bannerman register.

'We will continue our persistent and rigorous stewardship of the Etango asset. Bannerman last raised new funding almost three years ago. In the meantime, we have delivered tangible technical and commercial progress at Etango, which has translated into significant enhancement of shareholder value.

'We are excited about the opportunity that the Etango-8 Project presents, particularly in the current environment of improving uranium sentiment. However, our focussed strategy and financial discipline are unchanged. In progressing the Etango-8 Project, we will use our cash resources judiciously and with targeted maximum benefit for all Bannerman shareholders.'

Placement

Euroz Hartleys Securities Limited acted as Sole Lead Manager and Book Runner to the Placement. The Placement price of A$0.105 per share represents a 12.5% discount to the last closing price (A$0.12 per share) and a 16.8% discount to the 15-day volume weighted average price of Bannerman shares on ASX up to and including Monday, 8 February 2021 (A$0.126 per share).

Funds raised from the Placement are planned to be used to complete the Pre-Feasibility Study (PFS) at the Etango-8 Project, undertake and complete a Definitive Feasibility Study (DFS), continue product marketing and for general working capital and corporate purposes (including financing and offtake initiatives). The Placement will be completed in one tranche pursuant to the Company's capacity under ASX Listing Rule 7.1 (114,285,716 shares). Settlement is expected to occur on Thursday, 18 February 2021. Placement shares will rank equally in all respects with the existing fully paid ordinary shares in the Company.

Contact:

Tel: +61 422 602 720

Email: michael.vaughan@fivemark.com.au

(C) 2021 Electronic News Publishing, source ENP Newswire