PERTH (miningweekly.com) – ASX-listed Bass Metals will raise A$3.3-million through a share placement to fund resource drilling and part of the Stage 2 expansion at its Graphmada large flake graphite project, in Madagascar.
Shares for the placement will be issued at a price of 1.25c each, with subscribers to the placement also receiving one unlisted option, exercisable by the end of December 2020, at a price of 5c each, for every two shares issued.
Bass said on Friday that completion of the share placement would leave the company with some A$5.5-million in cash and receivables on hand.
Bass is aiming to deliver the Stage 2 expansion of its Graphmada project over the next 12 months, increasing production volumes from the current 6 000 t/y to 20 000 t/y.
Funds from the share placement will also go towards resource drilling, with Bass seeking to delineate an increased mineral resource, and to declare a maiden ore reserve for the Graphmada project.