Elevate Uranium Ltd (ASX: EL8) has received binding commitments for a single tranche placement to raise A$11.5 million.
Managing Director, Murray Hill, said the Placement introduced a number of new, high quality institutional, sophisticated and professional investors, whilst also being well supported by existing significant shareholders of the company.
“Demand for the Placement was overwhelming, representing a strong endorsement of the company and its strategy,” Mr Hill said.
“We are pleased to welcome a number of new prominent institutional shareholders to the share register and we would also like to thank existing shareholders for their ongoing support of the company.
“This round of funding places Elevate Uranium in the strongest financial position in the company’s history and we look forward to aggressively exploring our projects in Namibia and Australia, with the aim of continuing to deliver shareholder value. In what we believe to be an increasingly buoyant uranium price environment, we look forward to updating the market as results materialise across our geographically diverse tenement portfolio.”
Use of funds
Together with the company’s existing cash reserves (A$6.1M ), the new funds from the Placement ensures Elevate is well funded to increase the pace of its activities to execute its strategic plan.
This includes:
- Resource definition drilling at the Koppies Project located in Namibia with the aim of delineating a maiden JORC resource, metallurgical test work program and feasibility study;
- Success based exploration programmes focusing on the most prospective uranium mineralisation targets across the Company’s Namibian exploration portfolio;
- Assessment of project economics, resource drilling and additional exploration across the company’s Australian uranium exploration projects; and
- Corporate costs and general working capital requirements.
For further information please visit: https://www.elevateuranium.com.au/about-us/uranium/
