THE BOURSE WHISPERER: Exploration company Goodrich Resources has commenced trading on the boards of the Australian Securities Exchange.
The listing of Goodrich follows the completion of an initial Public offering of 17.5 million shares at 20c per share to raise $3.5 million.
Goodrich said its IPO received strong support from investors in difficult market conditions attracting two major Chinese cornerstone investors.
The first of these being Hong Kong-listed company Hanking Mining, which is one of the largest independent iron ore producers in north-eastern China.
The other key investor was Casin Group, a large Chinese conglomerate with interests including mining, environmental protection and infrastructure.
Goodrich said it intends focusing its attention on its New South Wales projects situated in the Macquarie Arc, an area which hosts a number of world class deposits and mines.
Goodrich Resources NSW Macquarie Arc projects. Source: Company announcement
In total, the company has interests in six projects in NSW and three in the Northern Territory, ranging from advanced-stage exploration assets with near-term resource potential, to early-stage projects.
The company’s lead project is the Calarie copper-gold project in central NSW.
Calarie lies in close proximity to the 2.3 billion tonne Cadia-Ridgeway copper-gold deposit of Newcrest Mining.
The Calarie project covers an area of 54 square kilometres that Goodrich considers to be a near-term resource development opportunity, with an initial exploration target of 500,000 to 515,000 tonnes at 2.0 to 2.3 grams per tonne gold.
Goodrich has already conducted additional exploration pre-listing, including Induced Polarisation (IP) geophysical surveys and a 1,000 metre drilling program.
The company plans to release a JORC-compliant resource report for Calarie as soon as it is completed.
Goodrich has also scheduled targeted exploration across all of its projects, commencing in NSW.
Goodrich also has confidence in its NT projects, which it claims represent prospective, early-stage exploration opportunities with the potential for the discovery of gold mineralisation similar to Newmont Mining’s major Callie gold deposit, which is located close to Goodrich’s South Tanami project.
“We are delighted to confirm Goodrich Resources’ ASX listing and commencement of quotation of its securities today, and it is a fantastic result in what has been a very difficult period in investment markets,” Goodrich Resources chairman Alex Alexander said in the company’s announcement.
“We have attracted a discerning group of investors, who see real value in our diverse project portfolio and our accelerated exploration plans, and we look forward to rewarding their support by delivering strong shareholder value.”