PERTH (miningweekly.com) – ASX-listed Spitfire Materials has raised some A$4.5-million to advance its gold projects in Western Australia and Queensland.
The company will issue 75-million shares, at a price of 6c each, to sophisticated and professional investors.
Company director Russell Hardwick said the company was delighted with the outstanding response that the share placement had received from existing and new investors.
“This is a reflection of the quality of the projects we are acquiring through the Admiral Gold transaction; the reputation, record and calibre of the proposed new directors; and the high level of investor support for our strategic growth plans in the Australian gold sector.”
Spitfire in March signed an agreement with Admiral Gold to acquire the unlisted company in exchange for 59.5-million shares. Admiral Gold holds the Alice River gold project, in Queensland, and the Mulwarrie gold project, in Western Australia.
Hardwick on Monday said the funds raised would put the company in a strong position in terms of the planned exploration programmes over the new and existing assets, giving Spitfire the ability to fast-track exploration and drilling at Alice River and Mulwarrie.
“This is a great time for Spitfire to expand its Australian gold portfolio and to embark on an expanded exploration push. The Australian gold sector continues to enjoy a high level of investor interest and support, underpinned by the strength of the Australia dollar gold price and the strong outlook for the sector both domestically and internationally.”