PERTH (miningweekly.com) – ASX-listed Navarre Minerals would raise as much as A$9.4-million in a share placement and share purchase plan (SPP) to accelerate exploration at its Mt Carlton gold project, which it acquired from gold miner Evolution Mining last year.
Navarre on Wednesday reported that it would place 68.2-million shares, at a price of 6.6c each, under its existing placement capacity, to raise an initial A$4.5-million.
The offer price represented a 16.5% discount to the company’s last closing price on May 27, and an 18.1% discount to the company’s ten-day volume weighted average share price.
Following the completion of the share placement, Navarre will undertake an SPP to raise an additional A$5-million. Under the SPP, shareholders would be allowed to subscribe for up to A$30 000 of new shares.
The SPP will open on June 8 and close on June 24.
“This equity raising is being initiated at an exciting time in Navarre’s history. Since taking ownership of the Mt Carlton operation in late 2021, our expanded geology team has materially advanced our understanding of the project and its prospectivity,” said Navarre MD Ian Holland.
“This has resulted in the production of highly encouraging, quality drilling results from virtually all Mt Carlton satellite mineral deposits.
“With momentum building at Mt Carlton, we believe the timing is right to step up exploration activity as we look to expand the growing resource base and convert more resources into reserves into our state-of-the-art processing facility.”