West Perth-based gold and base metal explorers Sandfire Resources NL has raised $4.4 million for general working capital through a share placement.
The company, though Argonaut Securities, placed eight million shares at 55c each with institutional and sophisticated investors.
Sandfire will use the money to explore its existing projects and undertake a comprehensive exploration programme at its Borroloola project.
The company also announced today it had formalised an agreement to purchase Borroloola tenements from Nicholas Paspaley in consideration for the grant of 5.4 million options exercisable at 60 cents on or before 30 June 2007.
The full announcement is pasted below
Pursuant to the authorities conferred at the recent general meeting and partially utilising the Company's capacity under the 15 per cent rule, the company:
formalised an agreement to purchase mining tenements (in the locality of Borroloola) from Mr Nicholas Paspaley in consideration for the grant of 5.4 million options exercisable at 60 cents on or before 30 June 2007
Argonaut Securities have finalised a placement, to institutional and sophisticated investors, of eight million ordinary fully paid shares at an issue price of 55c to raise $4.4 million.
The funds, which will be applied to general working capital, ensure the company:
can continue the agressive pursuit of its exploration campaign on its existing projects; and
is fully funded to undertake the planned comprehensive reconnaissance exploration programme at the now expanded Borroloola project.
