PERTH (miningweekly.com) – Junior St George Mining will raise some A$3.6-million under a private placement to support ongoing exploration work at its Mt Alexander nickel/copper sulphide project, in Western Australia.
The company has received commitments for the placement of more than 45.2-million shares, at a price of 8c each.
The shares will be issued under the company’s existing placement capacity, and will not require shareholder approval.
St George on Thursday said that the company is also considering undertaking a share placement to shareholders to raise an additional A$1.6-million, at the same price as the placement.
“The placement will provide St George with a strong balance sheet that allows us to vigorously advance the exciting exploration and development opportunity at the Mt Alexander project,” said executive chairperson John Prineas.
“We believe that Mt Alexander is shaping as Australia’s next nickel sulphide mine development with the discovery to date of four high-grade deposits and successful exploration work continuing in underexplored areas of the large high-grade mineral system.
“In particular, the deeper conductive features recently identified at the Cathedrals Belt are exciting targets for the discovery of new nickel/copper sulphides. Drilling at Mt Alexander is scheduled to resume at the end of this month with these targets prioritized for immediate drilling.”