THE BOURSE WHISPERER: Blackham Resources (ASX: BLK) has raised $35 million through an oversubscribed Placement that garnered strong institutional support from both existing and new shareholders.
Blackham Resources said the Placement proceeds will be used at the company’s 100 per cent- owned 6.4 million ounce Matilda/Wiluna gold operation to fast track its existing growth strategy.
The company said the strengthening of its balance sheet would enable it to:
• expedite the conversion of the large resource base into reserves;
• improve and lengthen the mine life;
• accelerate studies to enhance the Stage 2 expansion economics; and
• commit to Stage 2 engineering and long lead items immediately on finalisation of feasibility.
Blackham has commenced a 60,000m drill programme around the Wiluna Open pits and currently has two RC rigs and one diamond rig double shifting with a view to upgrading the Wiluna open pit Resources announced over the last two months, to measured and indicated resource.
“The funding allows for the Wiluna expansion studies aimed at lifting plant throughput to 3.2 million tonnes per annum,” Blackham Resources managing director Bryan Dixon said in the company’s announcement to the Australian Securities Exchange.
“Geological and mining studies to date demonstrate strong grades for an operation of this size.
“The initial expansion plan is expected to be completed in the near term and having a strengthened balance sheet will allow us to expedite Blackham’s sizeable growth plans.”