PERTH (miningweekly.com) – Dual-listed Chalice Gold mines will raise A$30-million through a share placement to institutional and sophisticated investors to fund the next phase of exploration at its Julimar base metals project, in Queensland.
The ASX- and OTCQB-listed company on Thursday said that first commitments had been received for more than A$75-million, indicating strong demand. The placement was conducted at a price of A$1.05.
The A$30-million placement was conducted in a single tranche, with more than 28.7-million shares placed under Chalice’s existing placement capacity.
Chalice told shareholders that following the completion of the placement, the company would be able to fund an expanded, systematic exploration programme at Julimar, which is anticipated to include a maiden mineral resource estimate as well as preliminary metallurgical and mining studies for the Gonneville discovery.
“We are of the view that Julimar has the potential to become a world-class project, and hence we are gearing up to accelerate our exploration and development activities,” said Chalice MD Alex Dorsch.
“Recent investor engagement revealed significant investor demand that was reflected in this capital raising. We welcome the addition of a number of significant sophisticated investors to Chalice."