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Zambezi Resources gains 7% premium on ASX debut
5-July-07 by Andrew Hobbs
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Bermuda-registered copper, gold and uranium explorer Zambezi Resources Ltd has closed almost 7 per cent above its initial public offer price on its ASX debut.

Zambezi opened at 52.5 cents, or 16.6 per cent higher than the 45 cent issue price of its $15 million IPO.

Shares closed up three cents, or 6.6 per cent, at end of trade.

The company, which had issued 33.3 million shares, aimed to use the money to advance its Zambian exploration and evaluation programs.

Managing director Julian Ford said the successful IPO would fully fund the company's 2007 exploration program.

"We have successfully ramped up operations at our three main projects, Cheowa, Kangaluwi and Mulofwe," Mr Ford said.

"We currently have five rigs operating and we expect to progressively ramp up to eight rigs by October.

"With twenty five geologists in the field, we have a very significant exploration effort underway in southern Zambia which is geared to the rapid delineation and evaluation of a substantial copper resource inventory."

Zambezi is chaired in Australia by CopperCo Ltd managing director Brian Rear. He is joined on the board by Mr Ford, Geoffrey Johnson and British director Jeremy Wrathall. Renee Hill will serve as company secretary.

The company appointed Bell Potter Securities Ltd to act as broker to the issue, with Carmichael Capital Markets Pty Ltd serving as lead manager and Snowden as competent person.

Grant Thornton WA acted as auditor and investigating accountant and Blakiston Crabb served as company solicitors.

For its listing on London's Alternative Investment Market, the company uses WH Ireland Ltd as its nominated broker and Grant Thornton as its nominated adviser.

Zambezi has the backing of international commodities trader Glencore International, which is earning a 51 per cent stake in the Cheowa project by spending $11.7 million.