Bryah Resources has secured funds from a heavily oversubscribed share placement to continue its search for copper and gold in WA's Murchison region.
Bryah Resources has secured funds from a heavily oversubscribed share placement to continue its search for copper and gold in Western Australia’s Murchison region.
The $4 million placement was priced at 7.5 cents per share and led by 180 Markets.
Today, Bryah said it had received about $7 million in subscriptions.
Most of the proceeds will go towards diamond, reverse circulation and aircore drilling planned across multiple gold and copper-gold targets within the company’s Bryah Basin and Gabanintha projects.
Bryah Basin is located north of Meekatharra, close to Sandfire’s DeGrussa and Monte sites.
“This capital raise is a significant milestone for Bryah Resources and enables us to crack on with some serious drilling as we continue to search for the next DeGrussa or Monte high-grade copper-gold deposit in WA,” Bryah managing director Neil Marston on Wednesday said.
Funds raised from the placement will also be applied to metallurgical testwork to examine the potential for nickel-copper-cobalt mineralisation as a by-product from Australian Vanadium’s deposit at Gabanintha, Bryah said.
The company is issuing almost 53 million shares in two tranches, along with free attaching options exercisable at 9 cents and with an expiry of January 2023.
The options are subject to shareholder approval, to be sought at a general meeting expected to be held in late July.
Based in West Perth, Bryah is also focused on developing its manganese asset alongside joint venture partner OM Holdings.
Mr Marston said the JV was completing a series of metallurgical tests that will determine the best method to beneficiate the manganese product.
"We see great potential for us to be producing high-grade manganese ore from the Bryah Basin in the near future," he said.
Shares in Bryah closed down 4 per cent to trade at 7.2 cents.