Artemis plans $5.4m equity raising

Artemis Resources hopes to raise $5.4 million through a share placement and an entitlement offer to fund the company's on-going gold exploration.

The company said that it has received firm commitments for a placement to raise $3 million.

Artemis will also conduct an underwritten 1 for 6 renouncement entitlement offer to existing shareholders to raise a further $2.4 million.

Patersons Securities will underwrite both the placement and entitlement offer.

The funds will be used to fund Phase 2 of drilling at the Mt Clement Gold/Silver/Copper Project and drilling at the Yandal Gold Project.

"This is an opportunity to invest in Artemis at a time when gold is currently trading at all time highs," said Artemis executive chairman Graham Libbesson.

"The high level of interest following the recent roadshow by the Company demonstrated there is a very healthy investor appetite for junior gold companies with exciting prospects, high-level technical expertise and a recent track record of exploration success," he said.

See company statement below:

Australian Resources company, Artemis Resources (ASX: ARV) is pleased to announce that it has received firm commitments for a placement to raise gross proceeds of $3 million. The Company will also conduct an underwritten renounceable entitlement offer (Entitlement Offer) to existing shareholders to raise $2.4m, bringing the total gross proceeds on completion of both transactions to $5.4m.

Patersons Securities Limited has been appointed Lead Manager to the placement and Underwriter of the Entitlement Offer. Both offers were heavily oversubscribed.

Proceeds of the capital raising will be used to fund Phase 2 of drilling at the Mt Clement Gold/Silver/Copper Project and drilling at the Yandal Gold Project. Mt Clement is located in the Ashburton gold province which hosts the Mt Olympus, Xanadu and Paulsens gold mines. Yandal is located in the rich and highly prospective Yandal- Bronzewing Gold Belt.

Commenting on the decision to undertake the capital raising, Artemis' Executive Chairman, Mr Graham Libbesson said: "This is an opportunity to invest in Artemis at a time when gold is currently trading at all time highs. The high level of interest following the recent roadshow by the Company demonstrated there is a very healthy investor appetite for junior gold companies with exciting prospects, high-level technical expertise and a recent track record of exploration success.

We intend to build on that success and vigorously pursue exploration drilling at our exciting Mt Clement and Yandal projects over the coming months.

"The equity raising will ensure the Company has sufficient capital to continue the successful exploration conducted by Artemis at Mt Clement as well as conduct work at the Company's other projects to deliver value to shareholders."

Capital Raising Overview
The capital raising will be undertaken at a price of 5.5c per share, plus free attaching options on a 1 for 4 basis (Listed Option: ARVOB exercise price 5c) and will comprise of:
i) Placement to raise $3m to institutional and sophisticated investors; and
ii) 1 for 6 underwritten renounceable pro-rata entitlement offer to existing and placement shareholders to raise approximately $2.4m.

As a renounceable entitlement offer, Artemis shareholders who do not take up their entitlement to participate in the Entitlement Offer may receive value for those entitlements. The Entitlements will be traded on the ASX.

Shareholder Enquiries
Shareholders will be sent details of the Artemis timetable for the Entitlement Offer shortly.