PERTH (miningweekly.com) – ASX-listed junior Galena Mining will raise A$10-million through a subscription agreement with Kingfisher Capital.
Kingfisher Capital would invest the funds over two tranches of A$5-million each, subscribing for shares priced at 40c each. On the completion of each tranche, Galena would also issue 2.5-million unlisted options, of which half will have a strike price of 50c each and the other half will have a strike price of 60c each.
The options will have a four-year expiry date.
Galena MD Alex Molyneux said on Friday that the proceeds will be used to accelerate pre-development works at the company’s Abra base metals project, in Western Australia.
Galena is expected to start initial production development drilling at Abra shortly, under which more than 15 000 m of diamond drilling will be undertaken.