Gold explorer Apollo Consolidated is raising $10 million through a share placement to advance drilling activities at its flagship Lake Rebecca project in Western Australia.
Apollo will issue 47.6 million shares at 21 cents per share, with Canaccord Genuity and Argonaut acting as joint lead managers and bookrunners to the placement.
ASX-listed Apollo said it would use the proceeds to fund reverse circulation and diamond drilling activities at Lake Rebecca to expand its maiden 1 million ounce JORC 2012 mineral resource, announced earlier this month.
The company will also use the funds to complete optimisation studies and delineation work.
Apollo managing director Nick Castleden said the Rebecca project looked robust and continuous at typical cut-off grades.
“We see clear opportunity to expand through step-out drilling and exploration into under-explored strike corridors,” he said.
The Lake Rebecca project covers around 160 square kilometres of the Norseman-Wiluna Greenstone Belt, in the WA Goldfields.
Shares in the company were trading at 26 cents per share at 3:40pm AEDT, up 8.5 per cent.
Meanwhile, Alicanto Minerals will raise $2.5 million through the issue of around 33.3 million shares at 7.5 cents per share, with Canaccord Genuity acting as lead manager to the placement.
The West Perth-based company has three gold projects in South America and two volcanogenic massive sulphide (VMS) projects in Sweden.
Earlier this month, Alicanto exercised its option to acquire mineral explorer Zaffer (Australia), which previously owned the Swedish Oxberg and Naverberg VMS projects.
Alicanto shares closed up 3.5 per cent to trade at 8.8 cents per share.
