Astral Resources NL (ASX: AAR) has secured firm commitments to raise A$3M via a single-tranche share placement comprising the issue of approximately 46.2M shares, at an issue price of A$0.065 per share.
Astral Resources’ managing director, Marc Dulcer, said, “We are delighted with the strong support received from new and existing investors, particularly in the current challenging market environment. Following the recently announced upgrade of the mineral resource estimate at Mandilla to 37Mt at 1.1g/t Au for 1.27Moz of contained gold, the strong support received from investors continues to validate the company’s quality asset base and strategy.”
In addition to the placement, the company is undertaking a non-underwritten share purchase plan (SPP) to raise A$2M. The SPP will be open to all eligible shareholders at the same issue price as the placement.
The proceeds of the placement will be used to advance resource definition drilling and technical and feasibility studies at Astral’s 100% owned Mandilla and Feysville gold projects, located near Kalgoorlie, WA. Specific activities include:
• A ~3,000m reverse circulation (RC) exploration drilling programme at the Feysville gold project, following up on previous high-grade assay results at the relatively undrilled Kamperman, Hyperno, and Ethereal prospects
• A ~4,000m RC drilling programme at the Mandilla gold project, continuing the in-fill programme within the south-east area of the cornerstone Theia deposit
• Completion of the structural review currently taking place at Theia
• Following completion of the structural review, a diamond drilling programme will be undertaken, testing current high-priority targets as well as any potentially faulted mineralized offsets and high-grade trends identified through the structural review
• Advancement of the Mandilla scoping study, which remains on track to be released later in 2023
Mr. Dulcer continued, “The second half of 2023 will be an exciting period for Astral, with RC drilling commencing in early August at Feysville, followed by RC and diamond drill programmes at Mandilla,”
“The Mandilla scoping study is also on track for completion later this year, which will mark a key milestone for the project.”
To find out more, please visit www.astralresources.com.au
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