PERTH (miningweekly.com) – Junior Lefroy Exploration will raise A$4.5-million through a share placement to fund exploration work at its namesake gold project, in Western Australia.
The ASX-listed company on Thursday said that more than 18.75-million shares would be placed at a price of 24c each under its existing placement capacity, with the company’s largest shareholder Gold Fields taking up 3.4-million of these new shares to maintain its 18.13% interest in the company.
In addition to the share placement, Lefroy will also undertake a share purchase plan (SPP) to raise a further A$1-million, allowing eligible shareholders to subscribe for up to A$30 000 worth of new shares, also at a price of 24c each.
The SPP will open on October 29 and will close on November 19.
“We are grateful for the ongoing support of existing shareholders, including Gold Fields, and are very pleased to welcome a number of new shareholders to our register,” said chairperson Gordon Galt.
“We are in a strong financial position to accelerate exploration activities in the Eastern Lefroy gold project. These programmes, together with the continued exploration activity in the western portion of the Lefroy gold project through our joint venture with Gold Fields, mean there will be substantial drilling activity and news flow on the company’s projects going forward.”
The Lefroy gold project is in close proximity to Gold Field’s St Ives gold camp and covers some 621 km2.