Perth-based explorer Astral Resources has locked in a raft of funding for its Mandilla and Feysville gold projects near Kalgoorlie in Western Australia.
Astral announced firm commitments have been received to raise approximately $25 million (before costs) in a two-tranche share placement to institutional, professional and sophisticated investors at $0.095 per share.
Around 263 million new share were issued under the placement, with tranche one raising $21 million and tranche two, subject to shareholder approval, raising $4 million.
The funds will see the company accelerate exploration and evaluation activities through to a final investment decision for Mandilla and Feysville, which will include the completion of pre-feasibility and definitive feasibility studies.
“We are delighted with the strong support shown by both new and existing investors in the placement,” Astral managing director Marc Ducler said.
“The calibre of new investors we were able to attract and the quantum of funds we were able to raise is testament to the quality of the Mandilla gold project as one of Australia’s best near-term gold development stories.
“On behalf of the Astral board and management, I would like to extend our appreciation to our new shareholders and thank current shareholders for their ongoing support.”
To date, Astral has delineated consolidated mineral resources for the projects to the tune of 1.38 million ounces of gold.
Astral’s flagship Mandilla project includes the Theia, Iris, Eos and Hestia deposits, while Feysville’s Big Think deposit has the potential to become a source of satellite ore feed to a future operation based on Mandilla.
Mandilla lies on the western margin of a porphyritic granitic intrusion known as the Emu Rocks Granite. The granite intrudes volcanoclastic sedimentary rocks in the project area which form part of the Spargoville group.
Feysville is part of the north-north-west trending Norseman-Wiluna greenstone belt, within the Kambalda Domain of the Archean Yilgarn Craton.
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