PERTH (miningweekly.com) – ASX-listed Andromeda Metals has raised A$15-million in an oversubscribed share purchase plan (SPP), adding to the A$30-million raised earlier this month through a share placement to institutional and professional investors.
Andromeda closed the SPP on July 20, after having received applications for A$26.2-million shares, well in excess of the placement target.
“The board wishes to thank our loyal shareholders for their ongoing support of the company and the Great White kaolin project, as evidence by the significant number of applications received under the SPP,” said MD James Marsh.
“With the combined funds received from the placement and SPP, the company now has the financial capacity to meet its share of final feasibility study costs and commitment to early lead time items under the joint venture with Minotaur and allow construction and mining to commence at the project in 2022, once a final decision to proceed is made by the joint venture partners.”
A definitive feasibility study for the Great White project is currently under way and would evaluate alternative scenarios of a start-up 500 000 t/y plant, or a two-staged 250 000 t/y modular phased wet processing plant, in preference to an initial DSO phase, moving to 500 000 t/y from year two as contemplated in the original feasibility study.