Photo by: Bloomberg
PERTH (miningweekly.com) – ASX-listed Pantoro is hoping to raise A$55-million through a share placement and share purchase plan (SPP) to fund work at its jointly held Norseman gold project, in Western Australia.
A share placement of more than 208.33-million shares will be made to institutional and sophisticated investors under the company’s existing placement capacity, priced at 24c a share to raise an initial A$50-million.
The SPP will raise a further A$5-million, and will be available to all existing Pantoro shareholders in Australia and New Zealand.
Pantoro MD Paul Cmrlec on Friday said that the placement was strongly supported from institutional shareholders, and that the result reflected the quality of the Norseman gold project.
Funds raised, in combination with cashflow from Pantoro’s Halls Creek project, would enable the company to maintain an aggressive drilling programme while progressing the development of Norseman.
A definitive feasibility study on the gold project is currently under way.
Pantoro earned a 50% interest in the Norseman project and has already spent some A$23-million of its A$50-million earn-in obligation.