Sch 1 - Beacon Hill Resources plc

ANNOUNCEMENT TO BE MADE BY THE AIM APPLICANT PRIOR TO ADMISSION IN ACCORDANCE WITH RULE 2 OF THE AIM RULES FOR COMPANIES ("AIM RULES")

COMPANY NAME:

Beacon Hill Resources Plc

COMPANY REGISTERED OFFICE ADDRESS AND IF DIFFERENT, COMPANY TRADING ADDRESS (INCLUDING POSTCODES) :

44 Southampton Buildings, London WC2A 1AP

COUNTRY OF INCORPORATION:

England and Wales

COMPANY WEBSITE ADDRESS CONTAINING ALL INFORMATION REQUIRED BY AIM RULE 26:

www.bhrplc.com

COMPANY BUSINESS (INCLUDING MAIN COUNTRY OF OPERATION) OR, IN THE CASE OF AN INVESTING COMPANY, DETAILS OF ITS INVESTING POLICY).  IF THE ADMISSION IS SOUGHT AS A RESULT OF A REVERSE TAKE-OVER UNDER RULE 14, THIS SHOULD BE STATED:

Reverse takeover of Tasmania Magnestite NL, which owns two retention licences over a magnesite project in Tasmania, Australia.

Tasmania Magnesite holds two retention licences to a magnesite deposit situated in the north-west of Tasmania which, according to Geoscience Australia, an Australian governmental body, is the third largest recorded magnesite deposit in Australia. The resource currently has a JORC compliant measured and inferred resource of 39 million tonnes (13 million tonnes being measured, the remainder inferred.) 

Magnesia is used in the industrial sector for a variety of different purposes and the principal forms are

calcinated magnesia ('CCM') which is used as a chemical in a number of markets including agriculture (fertiliser and feedstock), nickel, copper and cobalt, pulp and paper, waster and water treatment; and

dead burned magnesia ('DBM') and electrofused magnesia ('EFM'), which are used mainly in the refractory industry to line furnaces and are an essential raw material for the production of steel, cement and glass.

The Deposits were originally discovered by Tasmanian government geologists in 1925. In 1970, Mineral Holdings Australia Pty Limited ('MHA') was granted an exploration licence (EL 43/70) covering an area that included the Deposits and over the next three years explored the Deposits in association with various joint venture partners. During the intervening period up to 1981, MHA continued surface exploration which resulted in the discovery of Magnesite outcrops in the Lyons River, 4km along strike to the south of the Arthur River Deposit. Between 1982 and 1988 ConZinc Rio Tinto Australia Limited ('CRA'), in joint venture with MHA, carried out exploration, metallurgical testing and feasibility and marketing studies with the view to assessing the deposit as a source of DBM, CCM and direct shipping ore. In 1997 the joint venture was terminated, and in the same year MHA sold the Retention Licences to Tasmania Magnesite. In 1998 Tasmania Magnesite was purchased by Crest Magnesium Limited ('Crest'). Further studies and exploration were undertaken, but Crest (now called Agri Energy Limited ('Agri Energy') was unable to secure a joint venture partner to mine the site. Agri Energy's core business model then moved away from minerals into energy and certain of the Vendors purchased Tasmania Magnesite from Agri Energy on 28 June 2007.

Following the acquisition, it is the Company's intention to develop Tasmania Magnesite's licences by continued exploration, converting the retention licences into mining licences, obtaining the necessary environmental approval and carrying out feasibility studies with the aim of commencing mining operations within the next 24 months and by the development of a processing operation to create magnesia, in joint venture with another party. The Company is currently in early stage discussions with two parties to create a joint venture entity with one of them, to construct and operate a calcination plant to process magnesite into more valuable forms of magnesia. It is intended that the joint venture entity would enter into an exclusive off-take agreement with the Company to provide raw material for the plant.

DETAILS OF SECURITIES TO BE ADMITTED INCLUDING ANY RESTRICTIONS AS TO TRANSFER OF THE SECURITIES (i.e. where known, number and type of shares, nominal value and issue price to which it seeks admission and the number and type to be held as treasury shares):

5,633,000,000 ordinary shares of 0.01 pence each

CAPITAL TO BE RAISED ON ADMISSION (IF APPLICABLE) AND ANTICIPATED MARKET CAPITALISATION ON ADMISSION:

£1.0 million to be raised on admission. Market capitalisation anticipated to be approximately £14.1 million

PERCENTAGE OF AIM SECURITIES NOT IN PUBLIC HANDS AT ADMISSION:

56.8 per cent.

DETAILS OF ANY OTHER EXCHANGE OR TRADING PLATFORM TO WHICH THE AIM SECURITIES (OR OTHER SECURITIES OF THE COMPANY) ARE OR WILL BE ADMITTED OR TRADED:

none

FULL NAMES AND FUNCTIONS OF DIRECTORS AND PROPOSED DIRECTORS (underlining the first name by which each is known or including any other name by which each is known):

Justin Llewellyn Gareth Lewis, Executive Chairman

Geoffrey Teale Chalmers, Non-Executive Director

Timothy Stephen Jones, Non-Executive Director

Rahul Vendra Singh, Non-Executive Director

Murray Howard d'Almeida, proposed Non-Executive Director

FULL NAMES AND HOLDINGS OF SIGNIFICANT SHAREHOLDERS EXPRESSED AS A PERCENTAGE OF THE ISSUED SHARE CAPITAL, BEFORE AND AFTER ADMISSION (underlining the first name by which each is known or including any other name by which each is known):

Currently:

Consolidated Resources Pte Limited - 24.9%

RAB Special Situations (Master) Fund Limited - 17.8%

Carnegie Corporation Limited - 10.7%

Justin Llewellyn Gareth Lewis - 4.3% 

Following admission:

Asia Carbon Pacific Pty Limited - 23.8%

Dhunn Carr Industries Limited - 17.6%

Smit Superannuation Pty Limited - 14.9%

ATT Resources Pty Limited - 6.6%

Mr Dzeladia Ceman & Mrs Nevena Ceman - 3.2%

NAMES OF ALL PERSONS TO BE DISCLOSED IN ACCORDANCE WITH SCHEDULE 2, PARAGRAPH (H) OF THE AIM RULES:

none

ANTICIPATED ACCOUNTING REFERENCE DATE 

DATE TO WHICH THE MAIN FINANCIAL INFORMATION IN THE ADMISSION DOCUMENT HAS BEEN PREPARED (this may be represented by unaudited interim financial information)

DATES BY WHICH IT MUST PUBLISH ITS FIRST THREE REPORTS PURSUANT TO AIM RULES 18 AND 19:

31 December

30 June 2009

30 June 2010, 30 September 2010, 30 June 2011

EXPECTED ADMISSION DATE:

15 October 2009

NAME AND ADDRESS OF NOMINATED ADVISER:

Astaire Securities Plc

30 Old Broad StreetLondon EC2N 1HT

NAME AND ADDRESS OF BROKER:

Astaire Securities Plc

30 Old Broad StreetLondon EC2N 1HT

OTHER THAN IN THE CASE OF A QUOTED APPLICANT, DETAILS OF WHERE (POSTAL OR INTERNET ADDRESS) THE ADMISSION DOCUMENT WILL BE AVAILABLE FROM, WITH A STATEMENT THAT THIS WILL CONTAIN FULL DETAILS ABOUT THE APPLICANT AND THE ADMISSION OF ITS SECURITIES:

Copies of the Admission Document, containing full details about the applicant and the admission of its securities, will be available from www.bhrplc.com and from the offices of Astaire Securities Plc, 30 Old Broad Street, London EC2N 1HT

DATE OF NOTIFICATION:

30 September 2009

NEW/ UPDATE:

NEW