NR: Moving offices to Canada I would like to see a start a sharing of information here for discussions on Marengo.
AUSTRALIAN STOCK EXCHANGE RELEASE
MARENGO RESTRUCTURE TO REDOMICILE TO CANADA
Marengo Mining Limited (ASX Code: "MGO", TSX Code: "MRN", POMSoX Code: "MGO") is pleased to announce that, subject to shareholder and regulatory approvals, it proposes to restructure Marengo Mining Limited ("Marengo") to redomicile to Canada by way of a Scheme of Arrangement. The redomicile will not result in any changes in Marengo’s management, operations or strategy and its shares will trade under the same symbols (ASX and POMSoX: MGO,TSX: MRN) as the Marengo shares trade at present.
In April, 2008, Marengo listed on the TSX and concurrently raised $10.4m. Subsequently Marengo has undertaken a number of successful capital raisings and raised $127.6m, primarily through supportive North American Institutions.
This decision was made after careful consideration of the alternatives, including remaining a purely Australian company, dual listing on TSX, or listing on the Alternative Investment Market ("AIM") in London. Ultimately, the Company believes that access to the much deeper capital markets of North America will assist facilitation of financing for the Yandera Project.
Reasons for the Redomicile
Marengo is currently domiciled in Australia. In the context of the Marengo Group’s current operations and plans for expansion, the Marengo board of directors (the "Board") has determined that the redomicile is in the best interests of shareholders and the Board believes that the redomicile will better position the Group to realise its strategic goals. Potential advantages of the redomicile are:
? a greater ability to raise debt and equity;
? improved market sentiment and profile;
? access to a market more receptive to mining projects in Papua New Guinea;
? exposure to larger and more diverse investment markets;
? it is consistent with Marengo's growing international shareholder base and improves the potential for further international investor interest; and
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(ASX: MGO) has come onto the ASX radar after a 21% shares spike to $0.285 intra-day on Friday, compared to the $0.235 closing price on Monday 27 February - with the company receiving a price and volume query.
Marengo said that it is not aware of any material information that has not been disclosed to the market, which may explain the sudden investor interest.
The company though did say in a response to the ASX that an executive has been presenting in Europe and North America preliminary to the annual PDAC Conference in Toronto - which may be responsible for the elevated interest.
Marengo is focused on the Yandera Copper-Molybdenum-Gold Project in Papua New Guinea, which is one of the largest undeveloped copper resources in the Asia-Pacific with 6.5 billion pounds of copper, 204 million pounds of molybdenum plus gold, silver and rhenium.
A Feasibility Study is well advanced and due for completion in mid-2012, with commissioning by 2015
(Production 2016)