PERTH (miningweekly.com) – Copper/gold producer Aeris Resources has completed a A$50.4-million capital raise to accelerate exploration at the Tritton copper project and the Cracow gold mine, in New South Wales and Queensland respectively.
Some 287.9-million new shares will now be issued at a price of 17.5c each in an institutional placement, with the offer price representing a 14.6% discount to Aeris’ last closing price on June 9.
“This is an exceptional outcome for Aeris and its shareholders and provides the balance sheet strength to accelerate exploration at both our operations in 2022, while progressing in parallel life extension projects at Tritton,” said Aeris executive chairperson Andre Labuschagne.
“In 2022, we will continue development of the Budgerygar underground mine. We are also finalising plans to commence development of the Avoca Tank underground and a cut-back of the openpit at Murrawombie.
“The strong institutional support for the placement, I believe, is a reflection of not only the transformation of the company over the last 12 months but also an endorsement of our strategy focusing on copper and gold and adding value through organic and acquired growth,” said Labuschagne.
Aeris earlier this week made a voluntary A$20.5-million debt repayment in advance of its original debt repayment obligations, with the repayment funded from existing cash reserves.
The company has repaid some A$48-million in debt since July last year, and will finish this financial year with $20-million of remaining debt.
The ASX-listed miner reported a 260% increase in net profits for the first half of 2021, on the back of a 99% increase in revenues, with Cracow production reaching 38 248 oz during the half-year and Tritton producing 11 889 t of copper.