PERTH (miningweekly.com) – ASX-listed Zenith Minerals will raise A$5-million in an oversubscribed share placement to institutional and sophisticated investors, to accelerate exploration at its core gold projects.
The junior company on Tuesday noted that 51-million new shares would be issued at a price of 10c each, representing a 13% discount to Zenith’s last trading price on the ASX.
The shares will be issued under the company’s existing placement capacity.
“We are very pleased by the significant support for the placement, reflecting strong investor interest in the company, its gold exploration projects and the optinality that our wide exploration portfolio provides,” said MD Mark Clifford.
He noted that the funds raised would enable Zenith to progress an active exploration programme over the coming period.
Drilling was specifically planned for the Red Mountain gold project, in Queensland, and the Split Rocks gold project, in Western Australia, while surface geochemical programmes at the company’s Flanagans gold and Develin Creek copper/zinc project, both in Queensland, have also started.