Funds across the Boards
THE FUND RAISER: Some interesting raisings and investments this week as the juniors boosted their bank balances.
1 for 8 non-renounceable entitlement issue
Deep Yellow (ASX: DYL) announced it will be offering eligible shareholders the opportunity to acquire additional fully paid shares in the company through a 1:8 non-renounceable entitlement issue at 1.65 cents per share, to raise up to approximately $3.3 million.
The next day the company revised the entitlement issue terms to comply with ASX listing rules in respect to pricing which in this instance restricts the offer price to 1 decimal place below a cent.
The timetable and offer metrics are identical to those previously announced, however the pricing is now at 1.7 cents per share, to raise up to approximately $3.4 million.
Ausindustry funds received and drilling grant application submitted
Rimfire Pacific Mining (ASX: RIM) has received $1.165 million in relation to its Ausindustry R&D Tax Incentive Program application.
In addition the company has submitted an application to NSW Department of Trade & Investment for up to $200,000 as a Co-operative Drilling Grant, under the ‘New Frontiers’ program initiative.
The program is a ‘dollar for dollar’ matching program, where the company would undertake the equivalent drilling expenditure to the grant value received.
The co-operative drilling funds grant is due for determination within July 2014.
Government Grant for drilling at Skyfall
Spectrum Rare Earths (ASX: SPX) has been awarded a grant of $20,000 through the Northern Territory Government’s ‘bringing forward discovery’ initiative and ‘Drilling Collaborations’ program.
Funding will be used to support planned diamond drilling at the Skyfall prospect where recent work has uncovered a large mineralised system in recent surface trial pits.
Diamond drilling at the prospect is already in progress targeting near surface mineralisation.
$US65 million credit facility with Minsheng Bank finalised
The final requirements conditional for a credit facility between CuDeco (ASX: CDU) and the China Minsheng Banking Corporation have been completed.
The company was advised by the Minsheng Bank that CuDeco and the Minsheng Bank are to formally sign the final documents.
The facility is for $US65 million (approximately $A70 million).
The Minsheng Bank has also agreed to increase the facility to $US100 million if the company’s Cloncurry rail and Townsville port facility require additional funding.
GWR Acquires Stake in Tungsten Mining
GWR Group Limited (ASX: GWR) has acquired a 16.5 per cent interest in Tungsten Mining (ASX: TGN) by participating in the placement of shortfall shares in TGN’s recent entitlement issue.
GWR subscribed for 35 million shares at a price of 4 cents each equating to an investment of $1.4 million.
Tungsten Mining is focused on the development and exploitation of tungsten deposits, in particular the advanced Kilba project in the Gascoyne region of Western Australia.
Funds raised from its recent placement and entitlement issue ($4.64 million before costs) will enable TGN to progress in-fill drilling, engineering studies and associated works for the Kilba project.
Share Placement
Global Resources Corporation (ASX: GRM) has secured firm commitments for a share placement to raise approximately $1 million.
The company will place up to approx. 16.6 million ordinary shares at an issue price of six cents per share to sophisticated investors and directors of the company.
The proposed participation of directors in the Placement will be subject to shareholder approval.
The funds raised will be applied to expedite the forthcoming exploration program at the Great Sandy Desert project, and for general working capital and business development purposes.