A1 Minerals to raise $1.5m in placement

Osborne Park-based gold explorer A1 Minerals Ltd will raise $1.5 million through a placement to fund a feasibility study on its BrightStar Gold Project, the company has announced.

The full text of a company announcement is pasted below

A1 Minerals is pleased to advise that Directors have agreed to the placement today of 5,357,142 fully paid ordinary shares to a sophisticated and professional investor.

A1 Minerals Limited (A1) has agreed to place 5,357,142 ordinary shares with RMB Resources Limited as trustee for the Telluride Investment Trust. This placement is being made at 28 cents to raise $1.5 million and will represent approximately 5.6% of the post placement issued capital. RMB Resources Limited (RMB) is the resources merchant banking business of Rand Merchant Bank a member of the FirstRand Group. RMB focuses on providing equity and debt finance to small to mid-sized resource clients in Australia, North America, Europe and South Africa.

The Directors are very pleased to welcome RMB Resources Limited as a shareholder.

The placement funds will be used by A1 to supplement existing funds to:
a) assist in finalising the BrightStar Gold Project Feasibility;
b) meet the Company's 2008 exploration program;
c) commence an evaluation and planning process on the Company's recently announced Nickel Targets at the Narnoo Exploration Project.

Following the allotment and issue of these 'placement shares' A1 will have a total of 95,203,526 listed shares on issue.