Perth-based Argentina Mining is hoping to raise $5 million via an initial public offering and expects to list on the Australian Securities Exchange next month.
Perth-based Argentina Mining is hoping to raise $5 million via an initial public offering and expects to list on the Australian Securities Exchange next month.
The Perth-based company will issue 25 million shares at an issue price of 20 cents each to raise the funds.
Sydney broking firm Martin Place Securities is the lead manager to the IPO.
"Argentina has only relatively recently risen to prominence in the Australian market, thanks in part to the extraordinary success of Andean Resources which really focused investor attention on the country," said Argentina Mining's managing director Eduardo Videla.
Argentina Mining will be kicking off its drilling programs early in the New Year at its key projects, initially at Cerro Blanco, which is an established porphyry copper-molybdenum project.
See company statement below:
Newly-established explorer Argentina Mining Limited aims to follow in the footsteps of high-profile explorer Andean Resources Limited, which was recently snapped up in a US$3.6 billion takeover by Canada's Goldcorp, as it targets world-class discoveries in the Andean copper-gold belt following a $5 million IPO and planned ASX listing next month.
The Perth-based Company has lodged an Initial Public Offer (IPO) Prospectus with the Australian Securities and Investments Commission ("ASIC") for 25 million shares at an issue price of 20 cents each to raise $5 million, together with one free option attaching to each two shares at an exercise price of 20 cents expiring 4 years from listing, with provision to take up to $1 million in oversubscriptions. Sydney broking firm Martin Place Securities Pty Ltd is Lead Manager to the IPO.
Argentina Mining's vision is to become a major participant in the exploration and mining industry in Argentina, which has only recently emerged as a globally competitive exploration and mining destination.
"Argentina has only relatively recently risen to prominence in the Australian market, thanks in part to the extraordinary success of Andean Resources which really focused investor attention on the country," said Argentina Mining's Managing Director Mr Eduardo Videla, an Argentinean-Australian geologist who worked with the team who discovered the giant Veladero gold mine in San Juan in the 1990's, prior to moving to Perth, Australia, 15 years ago.
Andean, which is developing the world-class Cerro Negro Gold Project in Argentina, was subject to a bidding war between two Canadian companies, with Goldcorp's bid recently receiving approval from the Australian Foreign Investment Review Board (FIRB). Andean is listed on both the Australian and Canadian stock exchanges.
"The mineral wealth of the Andes stems from the unique geology of the region, where major tectonic structures have resulted in what is now recognised as one of the most economically significant concentrations of precious and base metal deposits on earth," Mr Videla said.
"Despite this prospectivity - and with resurgent exploration activity in the Andes- it is estimated that 75% of the prospective terrain in the Argentinean Andes is yet to be tested by modern exploration," Mr Videla continued. "That represents an enormous opportunity which has been recognised by our management team.
Argentina Mining will be kicking off its drilling programs early in the New Year at its key projects, initially at Cerro Blanco, which is an established porphyry copper-molybdenum project.
Previous exploration at this project, including drilling, defined a number of targets for Andean-style large-tonnage porphyry copper-gold and epithermal vein deposits, including the 2km diameter Copper Hill target. Historical rock-chip sampling returned high copper and molybdenum values, while one drill hole intersected 71 metres of anomalous copper and molybdenum, terminating in sulphide mineralisation.
Other projects include Tres Amigos, which contains numerous sulphidic porphyry related veins, with bonanza gold grades and abundant secondary copper reported from several small-scale mines, and Amiches, San Francisco and the three Regional Exploration projects located close to existing world-class mines and exploration projects operated by other companies.
"All of our projects are located near producing mines and advanced exploration or development projects with good access and infrastructure - including three projects with year-round access," Mr Videla said. "This is an important advantage as we can begin drilling early in the New Year and maintain almost continuous news-flow and momentum over the course of the year."
