PERTH (miningweekly.com) – Junior Auroch Minerals will raise A$2.9-million to fast track exploration at its Saints and Leinster nickel projects, in Western Australia.
The company on Friday said it had received form commitments from professional and sophisticated investors for the placement of more than 42.6-million shares, at a price of 6.8c each.
The issue price represents a 12% discount to Auroch’s 15-day volume weighted average share price.
Auroch on Friday said that the shares will be issued under the company’s existing capacity, and would not require shareholder approval.
“The heavily oversubscribed placement was a fantastic show of support from professional, sophisticated and other investors, and a great indication that Auroch has the right team and high quality nickel sulphide assets to create significant value for our shareholders,” said MD Aidan Platel.
“The funds will enable the company to continue its aggressive exploration programmes at our Saints and Leinster nickel projects with the intention of upgrading the existing high grade nickel sulphide mineral resource estimate of 1.05-million tonnes at 2% nickel for 21 400 t of contained nickel metal.”