PERTH (miningweekly.com) – Junior Galena Mining has raised A$12-million through a share placement to fund exploration work at the Abra base metals project, in Western Australia.
Galena has received binding commitments for the placement of 57.15-million new shares, at an issue price of 21c each, with the company’s largest shareholder, Timothy Roberts, subscribing for 11.15-million new shares to maintain his pro-rata shareholding at approximately 20%.
The share placement will fall within the company’s existing placement capacity, and will not require shareholder approval.
“The strong institutional support for the placement is a testament to Abra’s appeal as a low risk, high return base and precious metals project. We look forward to progressing optimisation works parallel with the debt financing process before mining commences,” said Galena MD Alex Molyneux.
Proceeds from the placement will be used to undertake optimisation drilling and optimisation works, and to drill the newly interpreted gold and copper zone at Abra.