Nickel company St George Mining Limited (ASX: SGQ) has unveiled undertaking a capital raising programme to fund the next phase of exploration and development activities at its Western Australian projects.
Commitments to raise A$5 million have been received from institutional and sophisticated investors for a placement of new shares at $0.052 per share.
Notably, St George’s leadership team has also committed to investing significant funds in the Placement.
John Prineas, St George’s Executive Chairman, said the Placement was oversubscribed, reflecting the strong investor interest in the company’s Mt Alexander Project where high-grade nickel-copper-cobalt-PGE sulphides have already been discovered at shallow depths over a strike of 6km. St George will also offer existing eligible shareholders the opportunity to subscribe to new shares in the Company at the same price as the Placement.
“These capital raising initiatives will provide St George with a strong balance sheet to advance the exciting exploration and development assets in its portfolio, particularly at the Mt Alexander Project,” Mr Prineas said.
“With high-grade nickel-copper sulphide deposits discovered as shallow as 20m from surface across a large yet underexplored mineral system, Mt Alexander stands out as a significant opportunity for investors looking for growth opportunities in the nickel sector.
“The location of Mt Alexander in an established mining region of Western Australia further underscores its compelling development potential at a time when investors – and end users – worldwide are searching for the next generation of quality nickel sulphide supplies.
“We are committed to continuing to create substantial shareholder value and thank existing and new shareholders for recognising the strong upside that we have at St George.”
For further information please visit: https://stgm.com.au/
