THE BOURSE WHISPERER: Xanadu Mines (ASX: XAM) is raising an impressive $10.2 million to advance the company’s Kharmagtai copper-gold project, located in the Omnogovi province of Mongolia.
Xanadu Mines announced it has received firm commitments for a placement to eligible professional and sophisticated investors of approximately 163.8 million fully-paid ordinary shares at an issue price of 6.2 cents each to raise approximately $10.2 million.
The company explained the proceeds of the placement, together with existing cash resources, will be applied towards the Kharmagtai Phase 2 exploration program in accordance with its strategy to target higher-grade, bornite rich zones at depth and for general working capital purposes.
“We are pleased with the strong support received from both existing shareholders and new institutional investors,” Xanadu Mines non-executive chairman Colin Moorhead said in the company’s ASX announcement.
“This Placement continues to strengthen our share register and fully funds Xanadu to execute its exploration strategy at Kharmagtai.
“Investors can look forward to a period of strong exploration news flow as we embark on an aggressive drilling program to define the higher grade, gold-rich bornite zones at depth and unlock the next stage of development in this globally significant copper-gold project.”
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