JOHANNESBURG (miningweekly.com) – Australian junior Manas Resources said on Thursday that it planned a A$821 000 capital raising, which it would use as working capital for its administrative and corporate overheads.
The company, which is developing the Shambesai project, in the Kyrgyz Republic, said that only a limited amount from the raising would be earmarked for activities at the gold project.
Manas was continuing with a dual strategy of procuring project finance for the development of the Shambesai project or securing a partial or outright disposal of its Kyrgyz mineral assets. The company was in “active discussions” with a number of parties in this regard.
In terms of the capital raising, Manas reported that it comprised a private placement and a nonrenounceable entitlement offer. It aimed to raise A$134 000 by placing 134.4-million shares. The nonrenounceable entitlement offer would be on a two for three basis and would raise about A$687 000.
The Shambesai project is expected to produce 241 000 oz of gold over a four-and-a-half-year mine life. The project, with a throughput of 550 000 t/y, will produce an average of 55 000 oz/y of gold, assuming treatment of all oxide and sulphide ore reserves falling within the design pit.