PERTH (miningweekly.com) – Junior Alto Metals will raise A$4-million in a share placement and share purchase plan (SPP) to fund growth at its Sandstone gold project, in Western Australia.
The ASX-listed company has received firm commitments for a share placement, priced at 6.5c each, raising A$3-million. The company’s directors have committed their support for the placement, subscribing for a collective A$65 000 of new shares in the company, subject to shareholder approval.
In addition to the share placement, Alto will also undertake an SPP aimed at raising a further A$1-million, allowing eligible shareholders to subscribe for up to A$30 000 of additional shares in the company, also at a price of 6.5c each.
Funds raised will go towards ongoing resource drilling at Sandstone, and to plan for the next phase of exploration.
“Our drilling campaign this year at our Sandstone gold project continues to deliver outstanding shallow, high-grade results and we are confident it will drive significant future resource growth,” said MD Matthew Bowles.
“The capital raising announced today positions us well as we head into 2023, allowing us to continue focusing on the resource drilling and mineral resource work, while at the same time preparing to commence our first drilling programme at the exciting high-grade Oroya mine later this month. We are extremely pleased with the overwhelming support in the placement from our existing shareholders and new investors, which is a strong endorsement of the quality of our Sandstone gold project,” he added.