PERTH (miningweekly.com) – Junior Marenica Energy will raise A$1-million after receiving binding commitments for a placement to professional and sophisticated investors.
The ASX-listed company will place 26.35-million shares, at a price of 3.8c each, and 26.35-million free attaching options, over two tranches. The first tranche will consist of more than 13.15-million shares and will be issued under the company’s existing capacity, while the balance of the shares will be placed in the second tranche, subject to shareholder approval.
“The placement was oversubscribed indicating strong support for the company and its strategy. The recent 20% increase in the uranium spot price over the last three weeks is encouraging for the company and its shareholders, potentially adding value to our exciting new discoveries in Namibia, and recently acquired high-grade Australian uranium resources,” said Marenica MD Murray Hill.
The funds raised will go towards exploration work on the Namibian tenements, and to fund resource evaluation at the Australian tenements, as well as for working capital.