PERTH (miningweekly.com) – ASX-listed Silver Mines has raised A$30-million in a share placement to institutional, sophisticated and professional investors, to progress the development of its Bowdens silver project, in New South Wales.
Silver Mines on Monday said that it would place more than 136.36-million shares, at a price of 22c each, under the company’s existing placement capacity.
The funds raised will be primarily used to progress the flagship Bowdens silver project, and to fund exploration activities over the next 12 months, as well as for corporate and general working capital purposes.
The Bowdens project is the largest known undeveloped silver deposit in Australia, and Silver Mines in 2018 completed a feasibility study evaluating a single opencut operation with an initial mine life of 16 years.
Based on the then ore reserve of 29.9-million tonnes, at a grade of 69 g/t silver, the project was expected to produce an average of 3.4-million ounces of silver a year, along with 6 900 t/y of zinc and 5 100 t/y of lead, from a two-million-tonne-a-year processing plant.