Red River raises cash to fund exploration work
PERTH (miningweekly.com) – Junior explorer Red River Resources has raised A$3.9-million through a share placement to fund exploration work at its Thalanga zinc project, in Queensland.
The company on Monday said it would place some 36.8-million shares, at a price of 10.5c each, along with one option for every two placement shares, with an exercise price of 15c each and an expiry date of two years from issue.
“I am pleased to have completed the placement in such a challenging market. This will allow us to continue to add value to the Thalanga zinc project through a high-impact exploration programme and resource definition activities, and to commence mining studies at our Liontown deposit,” said Red River MD Mel Palancian.
The funds raised would be used to convert the Far West exploration target to a Joint Ore Reserve Committee-compliant resource and to fund general working capital.
Meanwhile, to allow existing shareholders to participate in the placement, the company was planning a share purchase plan on similar terms to the share placement.
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