PERTH (miningweekly.com) – ASX-listed Minbos Resources is looking to raise A$7.3-million in a share placement to sophisticated investors to fully fund the definitive feasibility study and accelerate work at its Cabinda phosphate project, in Angola.
The company has received firm commitments for the placement of 91.25-million shares, priced at 8c each, with subscribers being offered one free option for every two shares subscribed for.
The option can be exercised at a price of 15c each and would have an expiry date of two years.
“We are delighted with the strong support for the placement which has fully funded our definitive feasibility study and provided capacity for the company to move on growth opportunities that our project makes possible,” said Minbos CEO Lindsay Read.
“In particular, we will now have capacity to progress key project items ahead of project finance drawdown.”
A 2020 scoping study into the Cabinda project estimated that it would cost between $22.4-million and $27.9-million to develop, based on an initial nameplate capacity of 150 000 t/y of enhanced phosphate rock, but that it is forecast to start production at a rate of 50 000 t/y.