THE BOURSE WHISPERER: Kin Mining (ASX: KIN) has completed an over-subscribed share placement to raise $1.68 million.
Under the Placement, the company will issue a total of 12 million new shares to sophisticated and professional investors at a price of 14 cents each.
The raising follows the company’s recent strategy of promoting growth and development for its Leonora gold project in Western Australia.
Kin Mining said the funds raised will be used to advance and progress the company’s projects including:
Completion of phase 2 drilling at Merton’s Reward T1 and T2 lode targets to further confirm the correlation of the new geological model with the objectives being to increase the resource base at Merton’s Reward;
Preparation of a revised resource calculation based upon the new geological model incorporating all the current and proposed drilling scheduled in early June;
Completion of a strategic plan to implement operational improvements with the objective to fast track the scheduling of the Feasibility Study once the revised resource modelling has been completed; and
To begin mining of the Lewis Prospect East Pit to extract 15,000 tonnes of ore for leaching and test the results of this process.
Kin Mining said it anticipated to be updating shareholders in the coming weeks in relation to the phase 2 drilling program, as well as operational improvements to fast track the scheduling of the feasibility study.
News is also expected on development of the mining and leaching process at Lewis and progress on other projects.
“The company has been very pleased and thankful for the overwhelming support by the investor response to the placement which is a testament to both the quality of the projects and our development strategy,” Kin Mining managing director Trevor Dixon said in the company’s announcement to the Australian Securities Exchange.
“We have a strong and dedicated group of people who now have financial backing to drive forward with developing these projects and propel the company to deliver its objectives in becoming a sustainable mining company.”