PERTH (miningweekly.com) – ASX-listed Australian Pacific has completed the placement of more than 294.3-million fully paid ordinary shares as part of its fully underwritten pro rata renounceable entitlement offer to raise A$100-million.
The company in September struck a deal with two of its suitors and its creditor and shareholder Trepang Services, which could see the Dartbrook mine being re-commissioned as a coal-producing asset.
Under the strategic partnership, M Resources and Tetra would each earn a 20% direct joint venture (JV) interest in the Dartbrook mine, while Trepang would earn a 10% free-carried direct interest in the JV if it agrees to extend the existing access and compensation agreement with Australian Pacific, as well as agreeing to various easement arrangements and the transfer of water rights on mutually agreeable terms, that would allow underground mining to continue for the duration of mine life extension approvals.
The strategic partnership is conditional on Australian Pacific successfully completing its entitlement offer, and the company obtaining all required authorisations, including shareholder approval, for the strategic partnership within 120 days.
Australian Pacific said on Monday that applications for more than 122.7-million shares were subscribed for by Trepang Services, set off against part of the agreed A$70.5-million owed to the company. The remainder of the debt owing will be paid out on Monday from the proceeds of the entitlement offer, leaving Australian Pacific debt free and with A$29-million in cash resouces.