Siberian Mining Group (HKG:1142) has agreed to place 21.3 million new shares (representing 9.35% of the company's enlarged issued share capital) to Kim Seon-yong, an independent third-party, at HK$0.23 per share, or HK$4.899 million in total.

The net proceeds of HK$4.86 million will be used by the company as general working capital and for repayment of liabilities.

The placing price per share has 19.3% discount to HK$0.285, the stock's closing price yesterday.

The share subscriber has made short-term loans to Siberian Mining Group and as at the date of the subscription agreement, the total outstanding loan amount was HK$1.35 million and the related accrued interests amounted to HK$25,918. The parties intend to set off the aggregate amount of the loans and the interests against the total subscription price on a dollar-to-dollar basis.