PERTH (miningweekly.com) – Uranium explorer Vimy Resources is planning to raise A$6-million to fast-track exploration at its Alligator River project, in the Northern Territory.
The company will issue 55-million fully paid ordinary shares at a price of 11c each to new and existing institutional and sophisticated investors, representing around 15.3% of the shares on issue.
“It’s great to see so many investors, both new and existing, who appreciate the high quality of our portfolio. The outlook for uranium continues to improve amid growing demand and significant supply side discipline from the world’s major suppliers,” said Vimy MD and CEO Mike Young.
Proceeds from the raising will be used to fund an exploration programme on advanced targets at Alligator River, including a reverse circulation and diamond drilling campaign, a scoping study on the Angularli deposit, and environmental baseline studies to streamline permitting.
“The team can’t wait to get stuck into the exploration programme at our recently acquired Alligator River project, which is in an underexplored uranium province known to host large deposits with exceptional grade. The funds raised will also be used to accelerate negotiations with offtake partners for the Mulga Rock project, with the aim of securing project finance.”