PERTH (miningweekly.com) – Junior Todd River Resources has exercised its option over the Nanutarra nickel project, in Western Australia, and has completed a A$4-million capital raise.
The company on Tuesday reported the issue of 805 366 shares to Cratonix with the exercise of the option over Nanaturra.
Todd River will now be able to earn up to 80% in the project by spending A$2-million over a three-year period, at which point a joint venture would be formed. Once a decision to mine is made, Cratonix could elect to contribute to its 20% expenditure, or could convert its interest into a 1.5% royalty.
Meanwhile, the junior company on Tuesday also announced that shareholders had approved a second tranche share placement as part of the company’s greater A$4-million capital raise.
The second tranche placement consisted of more than 75.36-million shares, issued at a price of 3c each, to raise A$2.26-million, with the balance of the A$4-million capital raised during the first tranche placement, which was conducted under Todd River’s placement capacity.
The company would also issue more than 67.9-million attaching options, one each for every two shares issue, at an exercise price of 6c on or before October 22.
The funds raised from the placement will be used to carry out exploration work at Nanturra and gold exploration at the Berkshire Valley project, also in Western Australia. Funds will also go towards advancing the Petermann Range project, where exploration agreement negotiations for land access are nearly complete.