Mt Ridley to raise $3.2m

Welshpool-based Mount Ridley Mines has announced a $3.24 million placement for exploration at its Fraser Range nickel-copper project, with the company already receiving commitments in excess of this amount.

Shareholder approval is not required for the placement, and Mount Ridley has the capacity to accept oversubscriptions of a further $540,000.

Mount Ridley managing director Dean Goodwin said he was pleased with the support, in a difficult time for junior explorers.

“The company has raised its profile substantially and we look forward to continuing with our exploration success and regular updates of our planned exploration program,” he said in a statement.

DJ Carmichael will earn 6 per cent of the funds raised from the placement plus 5 million options exercisable at 7 cents for its involvement as lead manager.

Mount Ridley also announced details of its upcoming exploration programs at the project, which are due to begin early to mid-April.

The work will comprise aircore drilling, RC drilling, diamond drilling and geophysical surveying.

Mount Ridley’s tenements are located in the same Fraser Range region as Sirius Resources’ Nova nickel-copper deposit.

The company changed its name from AXG Mining last December, after it acquired 100 per cent of the Mount Ridley tenement from unlisted Perth company ZTL Energy International.