Photo by: Bloomberg
PERTH (miningweekly.com) – Gold miner St Barbara has taken a 9.5% shareholding in fellow-listed Peel Mining, subscribing for 16-million ordinary shares, at a price of 20.5c each.
Peel told shareholders on Tuesday that the A$3.3-million raised will allow for the acceleration of upcoming work programmes at the company’s Wagga Tank volcanic massive sulphide prospect, in New South Wales.
Peel noted that drilling is scheduled to start at Wagga Tank in April.
“We are pleased to welcome a company the calibre of St Barbara to our share register. St Barbara’s funding commitment provides further validation of our strong belief in the mineral potential of the Cobar superbasin,” said Peel MD Rob Tyson.
He added that Peel will also be able to draw on St Barbara’s experience in deep, underground mining, as the expertise gained from the Gwalia operation will be applicable to the Cobar-style deposits.
St Barbara told shareholders that its investment in Peel was aligned with the company’s strategy of targeted investments in early to advanced-stage exploration through earn-in arrangements, joint ventures or direct equity investment.