THE BOURSE WHISPERER: Silver Mines (ASX: SVL) announced the completion of a capital raising of $10 million by issuing 100 million shares at a price of 10 cents per share.
Silver Mines said the placement resulted in increased support from international resources institutional shareholder Sprott Asset Management LP of Canada and other institutions both locally and offshore.
The funds raised will underpin the expansion of exploration activities including drilling at the company’s Bowdens silver project and Barabolar project, the imminent completion of the Environmental Impact Statement for the Bowdens project, associated land acquisitions and for corporate and general working capital purposes.
“This is a direct reflection of the substantial potential of the Silver Mines asset base and in particular the Bowdens silver project and the Barabolar project,” Silver Mines managing director Anthony McClure said in the company’s announcement to the Australian Securities exchange.
“We are in a surging silver commodity price cycle and with our expansive exploration programs as well as our submission for Development Approvals for the Bowdens silver project, we are looking forward to a particularly positive period for the company.”