Bellevue plans $3.5m IPO for Queensland tin exploration

West Perth-based tin and base metals company Bellevue Resources Ltd will raise $3.5 million in its initial public offer, to be used for further acquisitions and exploration of its North Queensland project.

The company, which will issue 17.5 million shares at 20 cents each to raise the money, acquired the Running River tin project earlier this year after borrowing $600,000 from lenders.

The lenders will be repaid with the proceeds of the share issue, as well as being issued 6 million shares, subject to a 12 month escrow.

The Company issued a Prospectus in August offering up to 2.5 million shares at an issue price of 16 cents each, with 4 cents per share payable in full on application to raise up to $100,000 with a further 12 cents per share payable at call to raise up to a further $300,000. The offer was fully subscribed.

The Running River project area is located in the Kangaroo Hills Mineral Field around 120km northwest of Townsville, in an area where tin mining started in 1870, ceasing in 1991.

The company is chaired by Armada Capital director and Professional Public Relation chief executive Paul Niardone, who is joined on the board by John Ceccon and Malcolm Castle. Philip Re will serve as company secretary.

Armada Capital will act as lead manager to the offer, while Rix Levy Fowler will serve as auditor and investigating accountant. Legal advice will be provided by Steinepreis Paganin.

The offer, which opened on November 13, will close on November 27.