The Company’s major shareholder, Dermot Desmond, has advised the Company that he intends to fully exercise his rights under the Offering. In addition, the Company has entered into a standby agreement with Desmond in terms of which he has undertaken to fully subscribe for those rights not otherwise subscribed for under the Offering.
The Company will be offering rights to holders of its common shares of record at the close of business on February 27. The Offering is subject to regulatory approval, including that of the Toronto Stock Exchange. The Company will issue to registered holders of outstanding Common Shares as of the Record Date one Right for each Common Share held.
Mountain Province Diamonds is a 49% participant with De Beers Canada in the Gahcho Kué diamond mine located in Canada's Northwest Territories.
The Gahcho Kué Project consists of a cluster of four diamondiferous kimberlites, three of which have a probable mineral reserve of 35.4 million tonnes grading 1.57 carats per tonne for total diamond content of 55.5 million carats.