Kingston seeking approval for SPP

10th July 2023 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

Kingston seeking approval for SPP

Photo by: Bloomberg

PERTH (miningweekly.com) – Junior Kingston Resources is hoping to raise A$1-million through a share purchase plan (SPP) to fund the refurbishment of the processing plant, underground infrastructure re-access and openpit pre-production waste stripping at its Mineral Hill operation, in New South Wales.

The SPP was part of a larger A$6.5-million capital raise announced in June, which included a A$5.5-million share placement.

The company on Monday said that the SPP would allow shareholders to subscribe for up to A$60 000 of additional shares in the company, priced at 8.5c each. In addition, for every two shares issued under the SPP, eligible shareholders would also receive one unlisted option exercisable at 14c each before the end of July 2025.

The SPP is subject to shareholder approval at the company’s extraordinary general meeting scheduled for August 14.

The company earlier this year updated the life-of-mine plan for the Mineral Hill project, which estimated a production of 123 000 oz of gold equivalent out to the end of 2027. Copper production is expected to start by the end of the 2024 calendar year.

The restart project will require a capital investment of A$16-million.