THE BOURSE WHISPERER: Azure Minerals (ASX: AZS) has received commitments from participants in a share placement of 58.75 million fully paid ordinary shares at 4 cents each to raise $2.35 million.
The placement was supported by Drake Private Investments, a prominent New York-based investment fund, which recently became a substantial shareholder of the company.
Drake took subscribed for 25 million shares ($1 million).
Azure indicated the funds raised will be used to conduct follow up drilling at the company’s Cascada prospect in Mexico which recently returned a drill intercept of 70 metres at 2.7 per cent copper equivalent (CuEq) (1.6 per cent copper, 0.9 grams per tonne gold and 35 grams per tonne silver).
The funds will also be used to pay for advancing feasibility studies for the Promontorio high-grade copper-gold-silver deposit, and on-going exploration on the recently acquired Loreto and Panchita projects.
“The capital raising went very well with strong demand and it closed substantially over-subscribed, exceeding our expectations,” Azure Minerals managing director Anthony Rovira said in the company’s announcement to the Australian Securities Exchange.
“I am particularly pleased with Drake’s commitment and their strong and continued support.
“Funds raised fully capitalise Azure for planned drilling at Cascada as well as on-going exploration activities at Loreto and Panchita.
“The next few months promise to be very exciting for the company with drilling soon to commence at the Cascada and La Tortuga projects, further exploration and results are expected from Loreto and Panchita, and the results of the updated Mineral Resource for Promontorio, which remains on track to be released this month.”
The company now has logistical preparations for the planned drilling programs in progress and expects to be drilling at La Tortuga and Cascada within one month.
Meanwhile exploration teams have remobilised to the Loreto and Panchita projects where further surface exploration is continuing.