Photo by: Bloombeg
PERTH (miningweekly.com) – ASX-listed Talisman Mining has raised A$16.7-million through a heavily oversubscribed share placement to fund its share of the Springfield copper/gold project, in Western Australia.
Talisman on Thursday reported that the company would place some 37.14-million shares, at an issue price of 45c each to strategic, professional and sophisticated investors.
Following the allotment of the shares, Talisman would have about 185.7-million shares on issue, and available cash reserves of A$22.9-million.
“This is a tremendous result in what remains a challenging and volatile global equity market,” said Talisman MD Gary Lethridge.
“The funds raised will boost our cash reserves to approximately A$23-million, ensuring that Talisman is in a position to continue to contribute to joint venture (JV) funding at our Springfield copper/gold JV with Sandfire Resources, including the high-grade Monty discovery, which is now closing in rapidly on a maiden mineral resource estimate.”
Lethridge said that the strong investor support for this raising was a testament to the quality of the Monty discovery, which was one of the most significant new high-grade copper discoveries in Australia, and the outstanding prospectivity of the broader Springfield JV for additional high value volcanogenic massive sulphide (VMS) discoveries.
“In addition to continuing to fund our share of the Springfield JV, the proceeds will also be used to progress our counter cyclical growth strategy at the Sinclair nickel project in Western Australia, which remains an attractive option on a future recovery in the nickel price, and for general working capital purposes.”
The Springfield JV lies immediately east of Sandfire’s DeGrussa copper/gold mine, and exploration work has already identified four prospective VMS corridors, including Monty.