PERTH (miningweekly.com) – Junior Alto Metals has announced plans to raise A$5.1-million to fund drilling at the Sandstone gold project, in Western Australia.
The company on Monday said that the one-for-four accelerated pro-rata non-renounceable entitlement offer will be priced at 7c a share, representing a 6.67% discount to the company’s last trading price.
Proceeds from the entitlement offer will be used to fund drilling and exploration at Sandstone, with a priority focus on infill and step-out drilling at the Lord Nelson deposit.
“For well over 12 months, the company has been hampered with multiple, opportunistic, unsolicited approaches, rather than being able to focus on exploration to realise value at the Sandstone gold project,” said MD Matthew Bowles.
“We are excited to have recommenced drilling at Lord Nelson to follow up on our latest results, which demonstrated the continuity of high-grade mineralisation. Lord Nelson is a priority focus for us and we expect further drilling will lead to additional resource growth from the known mineralisation that remains open down plunge and along strike to the south of the pit.
“The capital raising will see the company well funded to continue exploration well into the foreseeable future,” said Bowles.