PERTH (miningweekly.com) – Metals explorer Mod Resources has raised A$14.6-million through a share placement to professional and sophisticated investors.
The ASX-listed company on Friday said some 235.4-million fully paid ordinary shares would be placed at a price of 6.2c each to raise the funds, with the placement still subject to the clearance of funds.
The placement was done under the company’s existing capacity and, as such, did not require shareholder approval.
The funds raised will be spent on an exploration programme to extend the T3 openpit resource, at its Botswana copper project. The T3 pit forms part of a joint venture with Aim-listed Metal Tiger.
Funds will also be used to test other targets in the T3 area and regionally.
The junior recently discovered significant widths and grades of copper and silver mineralisation below the T3 resource.
“The board is extremely pleased to see such high calibre institutions support our growth strategy by participating in this placement,” said Mod chairperson Mark Clements.
Mod is currently progressing a prefeasibility study for an openpit mine at the potentially expanded T3 project, including baseline environmental studies and the start of early-stage permitting activities.