PERTH (miningweekly.com) – Iron-ore developer Venture Minerals has raised A$2.5-million under an oversubscribed share purchase plan (SPP).
Venture had initially sought to raise A$1.5-million under the SPP, but said on Tuesday that total applications received under the SPP had amounted to A$3.6-million. Given the high level of demand for the raise, applications were scaled back.
The funds raised under the SPP were in addition to the A$4-million raised through a private placement completed in August this year.
“The capital raisings completed over the past month have substantially boosted our cash reserves and allow us to continue the ramp-up of production at the Riley iron-ore mine, to capitalise on the current high iron-ore prices,” said Venture MD Andrew Radonjic.
Dry screening and associated mining operations have started at the Riley project, with full production to occur on the successful commissioning of the wet processing plant, which is still subject to financing.
The A$3.6-million Riley project is expected to produce around one-million tonnes of 57% iron over a two-year mine life.