THE BOURSE WHISPERER: Azure Minerals (ASX: AZS) announced it has been able to lock in funding of $1.5 million, which it intends to spend on fast-tracking the recently announced high-grade silver discovery at Mesa de Plata, on the company’s Alacrán project in Mexico.
Existing Azure shareholder and prospecting Svengali, Mark Creasy has agreed, through his private company Yandal Investments, to subscribe to a placement of 62.5 million Azure shares at 1.6 cents per share to raise $1 million.
In addition to the Creasy contribution, Azure has also received news a New York-based resources fund, which has previously invested in the company, has agreed subscribe to 31.25 million shares, also at 1.6 cents each, to raise an additional $500,000.
Azure said the capital raising will allow further assessment of the Mesa de Plata prospect, where initial drilling intersected thick zones of high-grade silver mineralisation commencing from surface and extending to depths of 70 metres.
“We are very pleased that Mr Creasy has agreed to increase his shareholding in Azure, and also welcome the ongoing support of the US fund which has further increased its investment in the company on the back of the previous funding announcement of 16 July 2015,” Azure Minerals managing director Tony Rovira said in the company’s announcement to the Australian Securities Exchange.
“This support and additional investment is a significant endorsement of the recent success at Alacrán.
“We are now well-positioned to undertake the close-spaced drilling program at Mesa de Plata and to drill test new silver targets that our ongoing exploration is identifying.”