Impact Minerals raises $1.9m in rights issue

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Mulga Tank at night Image credit: impactminerals.com.au

Impact Minerals has announced that it has $9.3 million in staged exploration funding after raising $1.9 million in a rights issue of shares priced at $0.021, demonstrating investor support for its exploration programs near Broken Hill, Orange and Kalgoorlie.

Mulga Tank at night
Image credit: impactminerals.com.au

According to the company’s ASX announcement, the fully supported rights issue follows the recent significant capital investment into Impact by Squadron Resources Pty Limited, which will invest up to A$7.3 million in Impact, including an initial cash injection of $3 million ($1 million subject to shareholder approval).

“We are delighted with the response to the rights issue with all shares being subscribed for and with more than 340 shareholders taking up their entitlement. In addition, our major German shareholder also took up a significant portion of their rights. We are also pleased to welcome to the share register, a second German investor who subscribed for a large number of shortfall shares,” said Impact Minerals’ Managing Director, Dr Mike Jones.

Location of the Mulga Tank Project Image credit: impactminerals.com.au
Location of the Mulga Tank Project
Image credit: impactminerals.com.au

“The drilling program underway at Broken Hill is the start of what will be the most exciting period in our Company’s history as we try to unlock the upside potential on all three of our flagship projects over the next 12 months. The fact that we also have an almost unprecedented amount of $353,000 from Government drilling co-fund initiatives to fund two of our planned programs is an independent testament to the projects’ potential.”

Adertisement

The company said that it will use the funds for staged exploration at its base metals projects at Broken Hill and near Orange in NSW, as well as at Mulga Tank, northeast of Kalgoorlie in WA.