West Perth-based Bass Metals plans to raise $15.3 million, which in combination with its $15 million banking facility, will be used to develop the Fossey polymetallic project in Tasmania.
West Perth-based Bass Metals plans to raise $15.3 million, which in combination with its $15 million banking facility, will be used to develop the Fossey polymetallic project in Tasmania.
The company plans to raise $10 million through a placement, largely to institutional investors, while a further $5.3 million will be raised through a two-for-9 rights issue.
The rights issue is not underwritten however 20.8 per cent shareholder Metals Finance has indicated its intention to subscribe for its full entitlement.
"This funding strategy is planned to provide sufficient funds to complete the development of the new Fossey Mine and to increase exploration work on recently generated, exciting new mineralisation targets in the Hellyer-Que River area, as well as to provide general working capital support," managing director Mike Rosenstreich said.
Shares in Bass dropped 1.5 cents to 27.5c at 12:38 AEDT.
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